SAN JOSE — In one of the South Bay’s biggest apartment deals so far this year, Park Kiley, a 948-unit multifamily property, was sold for $370 million, according to documents filed on Aug. 27 with the Santa Clara County Recorder’s Office.
Standard Communities, a real estate firm; Housing on Merit, a nonprofit; and Vistria Real Estate, an investment company, teamed up to buy the complex at 355 Kiely Rd. in San Jose, county and state public documents show.
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Measured by dollar amount, this deal appears to be the largest apartment purchase in Santa Clara County so far in 2025, according to this news organization’s review of a database of real estate transactions and its own published reports.
The largest prior apartment complex deal in the county was in April when Rockpoint Group paid $207.2 million for The Villages at Cupertino.
The Park Kiley apartment complex was built in 1972 and consists primarily of three-story buildings.
The units are all affordable, according to documents posted on Aug. 8 by the California Municipal Finance Authority. The apartments consist of 78 studios, 469 one-bedroom units, and 401 two-bedroom units.
The apartments are set aside for those whose annual incomes are no more than 80% of the area median income for Santa Clara County.
For 2025, the area median income was $195,200 for a household of four people and $136,650 for one person. This suggests the annual income limit would be $156,160 for a four-person household and $109,320 for one person, according to a state Housing and Community Development Department website post.
At the time of the purchase, the buying alliance obtained a purchase loan of $203.5 million from JLL Real Estate Capital, according to the county property records. The JLL unit immediately transferred the loan to the Federal Home Loan Mortgage Corp., or Freddie Mac.
The new ownership group also obtained a property tax welfare exemption, a California Municipal Finance Authority staff report stated. This provision enables the new owners to avoid paying some or all of the property taxes that would normally be levied on a California real estate parcel.
The owners intend to use the property tax exemption to improve the complex, the finance authority stated.
“The property will serve low-income tenants and utilize the cost savings of the Welfare Tax Exemption towards preserving high-quality affordable housing and providing substantial rehabilitation to the property,” the finance authority staff report stated.
The new owners are also expected to keep Park Kiley affordable over a period of decades.
“A total of 948 low-income households will be able to enjoy high-quality, independent, affordable housing in San Jose for the next 30 years,” the finance authority asserted in the staff report.