Saratoga Gardens
Size: 75 units
Price: Open Bid

The Azucena Group of Marcus & Millichap in a partnership with the Institutional Property Advisors, as the exclusive listing agents, are pleased to present Saratoga Gardens. Located at 1240 San Tomas Aquino Rd, San Jose, this is a 75-unit property that has all the desired amenities while within a short distance of major employers along with centers of culture and commerce.

Saratoga Gardens has a unit mix that consists of (17) 1 Bedroom / 1 Bathroom that are 941 sq ft, (56) 2 Bedroom / 2 Bathroom that are 1,289 sq ft, and (2) 2 Bedroom / 2.5 Bathroom that are 1,650 sq ft. Each unit has a private balcony or patio, central heating plus air conditioning along with a washer and dryer. The property sits on a 2.5 acre (or 108,900 sq ft) lot. Among the shared amenities are a swimming pool, spa, and garage parking. 

Located in the center of West San Jose, residents have easy access to numerous points of interest. Among the centers of commerce and culture; Santana Row, Valley Fair Shopping Center, Downtown Campbell, and Cupertino Square are a short drive away. Among the major employers; Apple, Nvidia, eBay, and Palo Alto Networks main campuses are not too far away. 

San Jose is one of the most expensive cities in the United States with average median home prices over $1.5M (as of June 2022) placing homeownership out of reach for most residents which creates a robust tenant base. Saratoga Gardens, with its location in West San Jose but close to Cupertino and Santa Clara, makes this an attractive investment for short and long-term investors.

Investment Highlights

  • Significant Value-Add Upside: Owned by the seller since 1988, Saratoga Gardens represents a transformational value-add opportunity through the renovation of unit interiors, improvements to common area amenities, and enhanced operational efficiencies. While the community has been very well maintained, many finish levels are considered classic and primed for proven upgrades, allowing a future owner to aggressively drive NOI.

  • Attractive, Boutique Community: Saratoga Gardens boasts an attractive community with incredibly spacious floor plans, all individually parceled, averaging 1,220 square feet. Furthermore, there are 77 units on the property, two of which are privately owned. Two of the 77 units are 2-story units that could potentially be transformed into four flats. This creates the opportunity to have 79 total units available for rent or eventual conversion to condominiums.

  • Thriving Employment Market: West San José’s strategic Silicon Valley location offers convenient access to top employers such as Apple, Google, Amazon, and Cisco, to name a few. Saratoga Gardens is only fifteen minutes from the Golden Triangle, Silicon Valley’s largest employment center with over 1,400 technology companies, 150,000 employees, and 30 million square feet of office space.

  • Robust Rent Growth: San Jose boasts an average household income of over $165,000 and a median home price of almost $1,750,000, leaving residents with a monthly rent-versus-own affordability gap of $6,620 (277%).

  • Neighborhood Amenities: Residents enjoy easy access to a variety of popular neighborhood retailers including Trader Joe’s, Sprouts Farmers Market, Target, CVS, and Starbucks, which are all about a mile away. The property also benefits from being just three miles from the area’s premier retail centers, Santana Row and Westfield Valley Fair Mall. Both are home to over 464 restaurants, luxury boutiques, and global retail brands such as Nordstrom, Bloomingdale’s, Macy’s, Nike, Tesla, Apple, Luis Vuitton, and Prada, to name a few.

  • Transit-Oriented: The property is located near Interstates 280 and 880, State Routes 85, 17, 82, and 87, U.S. Highway 101. The location allows for seamless travel to the multitude of employment hubs in Silicon Valley and the Peninsula to the north.