City garden. Image courtesy of JLL
A micro unit in San Francisco has received a $ 104 million refinancing. JLL arranged the three-year floating rate loan for City Gardens, a community owned by Panoramic Interests. JLL told Multi-Housing News that Ready Capital provided the loan to replace an undisclosed Pacific-West home loan.
The eight-story city garden was recently completed and offers 200 residential units in a 152,445 square meter building. The units are divided into fully furnished micro-units of two, four and five bedrooms, all of which are managed by Common. Common told Multi-Housing News that Panoramic Interests won the company over to manage the property last year and started pre-letting in August 2020 in time for the parish opening in fall 2020.
The sustainably built units are equipped with highly efficient lighting and sanitary facilities as well as laminated, heat-resistant glass and ventilation with energy recovery. Community amenities include a lounge, work area, rooftop terrace, common rooms, meeting areas, and bicycle storage.
City Gardens is located at 333 12th St. and is surrounded by several restaurants and major retailers such as Costco and Target. The shared apartment is also located between two up-and-coming neighborhoods, Hayes Valley and the Design District. Hayes Valley has many upscale boutiques and stores in a revitalized neighborhood, while the Design District is known for its designer and home decor showrooms.
CO-LIVING TREND MEETS UNIQUE DEMAND
A JLL team made up of Charles Halladay, Alex Witt, Jordan Angel, Jonah Aelyon and Lauren Mezzanotte represented Panoramic Interests for the loan. Angel said in prepared remarks that the unique high-density borrower community can capitalize on the high demand from tenants in San Francisco.
Outside of San Francisco, the co-living sector has been growing in popularity for years. Despite the offer of a very specific type of housing, this type of housing has attracted certain tenants, especially those in high demand markets. In addition to their traditional units, the municipalities have even integrated residential communities, such as G8 in Los Angeles, a mixed-use project with 228 residential units that offers 23 affordable residential units and 68 residential communities.