Hines REIT Acquires San Jose Multifamily, Will Rebrand

Hines Global Income Trust, Inc. (HGIT) has acquired Hanover Diridon, a Class-A multifamily asset located in San Jose. The seller and pricing were not disclosed, although published reports put the sale price at $117 million. Willowick Residential, Hines’ multifamily property management firm, which manages three other assets in the Bay Area, will assume the role of property manager.

“Diridon West’s strategic location, trophy profile, and proximity to premier Silicon Valley employers and live-work-play amenities make it an attractive investment,” said Alfonso Munk, Hines’ CIO of the Americas and president of HGIT. “While development costs remain elevated in the Bay Area resulting in a slowdown of new multifamily product, fundamentals continue to improve, therefore ideally positioning this asset to capitalize on the strength of the market.”

Located at 715 W Julian St., Hanover Diridon, which will be rebranded as Diridon West, is a 7-story, 249-unit Class A multifamily development completed in 2021 and is currently 95% leased. The property is located in a mixed-use micro market that is within walking distance to Whole Foods, the CalTrain Diridon Transit Station and other key locations.