OBREM and Bascom buy San Jose's Museum Park Apartments for $53.1m

An affiliate of Oberndorf Real Estate Management, working with The Bascom Group, has acquired Museum Park Apartments in San Jose for $53.1 million, according to IREI.

The purchase price implies about $454,000 per unit for the 117-unit, class B+ complex, whose apartments average 1,035 square feet. The 2002-built, three-story garden-style property spans 12 buildings on three acres at 465 W. San Carlos St., with 130 parking spaces and most units having attached private garages. It sits less than a mile from San Jose Diridon Station and has access to Interstate 280 and Highway 87.

"This acquisition marks OBREM's first investment in California in over a decade, and we are excited to return to our home base in the Bay Area," said Peter Oberndorf, managing director of OBREM. He cited San Jose homeownership costs well above rents, high barriers to new multifamily supply, demographics and job growth as the case for a long-term hold.

IREI's report notes the property has not had a major renovation since it was built. It also lists Bascom's other recent deals: a September purchase of 370 North Dallas doors at a lender-set foreclosure basis and an August refinancing of a 133-unit Charleston apartment property with an $8.5 million bank loan.