Marcus & Millichap has arranged the sale and acquisition financing of Carlmont Hills Apartments, a 16-unit multifamily community at 2401 Carlmont Dr. in Belmont. The property changed hands for $5.75 million, which equates to $359,375 per unit, highlighting current pricing levels for smaller multifamily assets in this submarket.
Marcus & Millichap Capital Corporation, the firm’s financing arm, structured $3.8 million in acquisition debt for the transaction. The loan was provided by a national bank and carries a 10-year term with a 70% loan-to-value ratio, a 5.85% interest rate and a 30-year amortization schedule, aligning long-term fixed financing with the buyer’s hold strategy.
According to Marcus & Millichap executive managing director investments Adam Levin, Carlmont Hills Apartments presents the new owner with a well-maintained asset that still offers meaningful upside. He noted that continued interior and exterior renovation work is expected to enhance the property’s performance over time.
Levin also pointed to local fundamentals supporting the investment thesis for the buyer. Belmont’s constrained housing supply and low vacancy, combined with its proximity to major employment centers in Silicon Valley, were cited as drivers of ongoing rental demand and potential rent growth, positioning the community for long-term appreciation.
The seller, described as a local family office, engaged the Levin Johnston team of Marcus & Millichap’s Palo Alto office to handle the marketing process. Adam Levin and Robert Johnston led the campaign on behalf of the seller and ultimately secured the buyer, a local syndication group, in what was structured as an acquisition with bank financing.
On the capital markets side, Chad O’Connor, executive managing director for capital markets and based in Marcus & Millichap’s San Diego office, arranged the acquisition loan through a national bank lender. The combination of leverage at 70% loan-to-value with a 10-year term and 30-year amortization provides the buyer with long-duration, senior bank debt that matches the property’s long-term hold and renovation plan.
The transaction illustrates how private capital and syndication groups are accessing institutional brokerage and financing platforms to compete for smaller multifamily properties in supply-constrained markets. It also underscores the role of relationship-based bank lending in financing stabilized assets with identified renovation upside.
