Investment Overview

RESIDENTIAL REDEVELOPMENT SITE 760 San Antonio Road is an approximately 0.672-acre site located near the intersection of San Antonio Road and Leghorn Street. The site has an irregular shape with approximately 137 feet of frontage along San Antonio Road and an average depth of 212 feet. The property is in an area targeted by the city for residential redevelopment. The site is in a corridor that is part of the Housing Incentive Program and has also been included in the list of Residential Opportunity Sites in the city’s 2023-2031 Housing Element. Several properties along San Antonio Road have been proposed for redevelopment or are in the planning stages. EXCELLENT ACCESS AND VISIBILITY San Antonio Road is a primary traffic carrier in Palo Alto; more than 32,000 vehicles pass the site each day. The site is about one-half mile from an interchange with US Highway 101, providing excellent regional access. Addi¬tionally, the San Antonio Caltrain station is one mile south of the site, making the property easily accessible from public transit. HEART OF SILICON VALLEY The property is located in Palo Alto, which is credited as being the birthplace of Silicon Valley. The world’s largest technology companies are headquartered in the area, including Apple, Google, Facebook, Cisco, and Oracle. Sili¬con Valley consistently receives more than 40% of all venture capital funding in the United States and is a center of technological innovation. Palo Alto is at the heart of the most concentrated high-tech digital region in the world. HOUSING DEMAND Demand for housing in Palo Alto continues to outpace the supply of new residential units. According to the Association of Bay Area Governments, the city needs to build more than 760 housing units per year through 2031 to accommodate growth. In recent years, the city has averaged fewer than 100 residential permits per year and is well short of the target. Consequently, housing costs have risen dramatically. The median home price in Palo Alto ended 2022 at $3,610,000, according to the Santa Clara County Association of Realtors. This represents a 22% increase during the past five years. Based on Costar data, the average market rent for apartments is $2,940 per month, which is near the pre-COVID high of $2,975 per month. There is substantial demand for housing in Palo Alto and a limited supply of new housing units being built. EXCEPTIONAL INCOME DEMOGRAPHICS The site is located in Palo Alto, one of the most affluent communities in the state of California. Santa Clara County is the #2 highest income county in the state and neighboring San Mateo County is the #1 highest income county. The average household income within three miles of the property is $215,844 and the median income is $155,723 within the same radius. This compares to the average household income in Santa Clara County of $186,722 and the median household income of $135,085.