Menlo Gate, LLC is pleased to announce that it has closed Menlo Gate Group Fifteen, LLC. This Offering Group SOLD OUT FROM THE RESERVATION LIST! If you haven’t submitted your Menlo Gate Subscription Reservation Form, you can download it here and send it to Investing@menlogate.com. Our next Offering Group will be coming out this month and there is already limited space available due to Subscription Reservation submissions.
We received the Menlo Gate Group Fifteen opportunity through our network. The contract was obtained through an assignment from another active buying portfolio on the Mid-Peninsula. The seller was disposing of the asset due to the death of a co-owner of the property and the need to sell and distribute proceeds to beneficiaries. At the close of negotiations, we were able to enter into contract with the seller extremely below market for a price of $2,150,000 or $358K per door. During escrow, we received the appraisal from the lender at $2,630,000 or $438,000 per door. The Members of this group made nearly a half-million at close of escrow, nearly a 50% return on investment!
This offering group consisted of a six unit apartment opportunity in Redwood City, CA located in the heart of Redwood City’s most desirable rental neighborhood, the Mount Carmel District. For those of us intimately familiar with the Redwood City rental market, there is no location better than the Arch, Birch, and Clinton Streets between Hopkins and Whipple, West of El Camino. Any property on these three streets is considered to be a “trophy” asset class by portfolio owners. These streets are pure pride of ownership streets in the region and have to be seen to be understood. Generally, assets in these areas are bought and held for generations due to the rental demand that they generate for their owners. The group is in close proximity to Mid-Peninsula development projects including the Stanford Campus, Facebook’s Willow Campus addition, the Bohanon Park development, and the new Nia Hotel. The Stanford, Bohanon, and Nia Hotel projects have already broken ground and are underway. The new Facebook Willow Campus is expected to be completed by 2021.
The new Stanford development will occupy the old Technology Park in Redwood City and consist of over 35 acres of new development. Stanford forecasts that the new campus will bring over 3,000 new jobs to the area. Stanford has also dedicated a “trolley” system from the new campus to the revitalized downtown district of Redwood City.
Large high end residential developments were also recently completed on both Willow Rd. and Hamilton St. in this area. The Willow Rd. project was entitled and completed by the Mid-Peninsula group whereas the 777 Hamilton project was brought to market by Sequoia’s, William Butler. The recent activity by both these large and respectable builders stands as a strong indicator as to the highly valuable future for real estate in this area. Menlo Gate’s latest acquisition is literally at the epicenter of all these developments!
If you missed this great opportunity, please keep an eye out for Menlo Gate’s next offering. We expect our next group to be published to our participant list in May of 2018. You can also reach out to us via e-mail if you have any questions or to advise us of your level of interest in our next group. We can be reached at email@example.com. You may also call us directly at 650.255.9460 with any questions.