What do millennials want? For one thing, they want to live in San Jose, according to a survey published by the real estate blog, CommercialCafe.
Citing well-paying jobs and beautiful weather, among other factors, they ranked the city as their #1 move-to destination. And for those coming to work here the pay is pretty good – the country’s highest median earnings for millennial households: $150,806 a year, $17,000 more than neighboring San Francisco and $44,145 more than in Boston, another tech hub.
This matters to a city’s revitalization. Somewhere between 26 and 41 years of age, these are individuals already in or entering their peak earnings period. They have families, they go out, they want to contribute to, and be part of an exciting urban environment. They need places to live and they’re generally fans of transit-oriented places.
We get it. That’s one reason we’re building 389 units of multifamily housing with our new Icon/Echo project on the “main street” of the central business district right next to a future BART Station. It’s why we’re building TMBR, with 184 units of residential housing. And it’s why we’re confident in the long-term prospects of the San Jose office market, and building projects like Fountain Alley and Paseo, with a unique blend of office and entertainment venues.
Unemployment in our area remains among the lowest in the country at 2.2.% in July, according to the Bureau of Labor Statistics. There are great, well-paying jobs with companies like Google, Apple, and Zoom that are increasingly close to home.
Our Fund I started building places for these newcomers to work and live and we’ve followed that up now with our Fund II.
To find out how you can invest in downtown San Jose, contact us today.
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Real Estate Risk Disclosure:
- There is no guarantee that any strategy will be successful or achieve investment objectives including, among other things, profits, distributions, tax benefits, exit strategy, etc.;
- Potential for property value loss – All real estate investments have the potential to lose value during the life of the investments;
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- Reduction or Elimination of Monthly Cash Flow Distributions – Like any investment in real estate, if a property unexpectedly loses tenants or sustains substantial damage, there is potential for suspension of cash flow distributions;
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Opportunity Zone Disclosures
- Investing in opportunity zones is speculative. Opportunity zones are newly formed entities with no operating history. There is no assurance of investment return, property appreciation, or profits. The ability to resell the fund’s underlying investment properties or businesses is not guaranteed. Investing in opportunity zone funds may involve a higher level of risk than investing in other established real estate offerings.
- Long-term investment. Opportunity zone funds have illiquid underlying investments that may not be easy to sell and the return of capital and realization of gains, if any, from an investment will generally occur only upon the partial or complete disposition or refinancing of such investments.
- Limited secondary market for redemption. Although secondary markets may provide a liquidity option in limited circumstances, the amount you will receive typically is discounted to current valuations.
- Difficult valuation assessment. The portfolio holdings in opportunity zone funds may be difficult to value because financial markets or exchanges do not usually quote or trade the holdings. As such, market prices for most of a fund’s holdings will not be readily available.
- Capital call default consequences. Meeting capital calls to provide managers with the pledged capital is a contractual obligation of each investor. Failure to meet this requirement in a timely manner could elicit significant adverse consequences, including, without limitation, the forfeiture of your interest in the fund.
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