KT Urban and Maxxum Development
San Carlos and South First, San Jose, CA
Office | Urban Residential
This parcel was owned by two entities in a partnership that had no issue resolution or a buy/sell agreement built into the partnership. One original partner was fatigued, so KT Urban bought their illiquid interest and proceeded to start an entitlement and encourage the other partner to sell. In addition, we had to deal with two partners who were not always in agreement with no clear way to solve issues for both parties.
The property, which appraised for $20 million 12 months before, was sold as a new development opportunity for $61.5 million. The buying entity was Urban Community, who just announced a new 1.25 million sf office project that will be developed in a new joint venture with WeWork.