Student Housing Tower Sold for $204.8 Million
The 19-story San Jose building sold for 5.8% more than its recent assessed value.
Updated on Oct. 7, 2026 in Commercial
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Brookfield and Coastal Ridge Real Estate have purchased The Grad, a 260-unit student housing tower in downtown San Jose. The sale was officially filed with the Santa Clara County Recorder on October 6, 2026.
Why it matters
The $204.8 million transaction reflects ongoing institutional investment in student housing as a core driver for future downtown development. This sale sits 5.8% above the property's January 2026 assessed value of $193.5 million.
The property at 88 East San Carlos Street sold for $204.8 million, marking a 5.8% increase over the $193.5 million valuation set in January 2026. The 1,039-bed facility represents a significant asset in the downtown San Jose housing market.
The players
Brookfield
A global asset management firm that invests in commercial real estate and infrastructure.
Coastal Ridge Real Estate
A real estate investment firm specializing in multifamily and student housing management.
Acore Capital Mortgage
A commercial real estate lender that provides financing for large-scale property acquisitions and refinancing.
San Jose State University
A public university that recently expanded its own campus housing portfolio.
The details
The property was acquired by an affiliate of Brookfield and Coastal Ridge Real Estate. Previous owners had refinanced the tower in November 2024 using a $150 million loan from Acore Capital Mortgage, which was cleared as part of this transfer. The building, which first opened in 2020 after construction began in 2017, features 260 units.
Timeline
2017: Development of The Grad began.
2020: The Grad opened to residents.
November 2024: Acore Capital Mortgage provided a $150 million refinancing loan.
October 6, 2026: Sale documents were filed with the Santa Clara County Recorder.
Money Landscape
This purchase follows a series of high-value transactions for residential towers in downtown San Jose, including similar housing acquisitions by local universities. It underscores a shift toward permanent institutional ownership for high-density student living spaces.
For residents or local households monitoring the area, the sale signals stable ownership for this large housing stock. Future rent considerations and housing availability in the downtown core will be influenced by how these new owners manage such high-capacity properties.
The takeaway
Large-scale institutional real estate deals often signal the long-term viability of specific rental markets. Households should monitor property tax assessments and regional rental price indices to understand how these sales affect broader neighborhood housing costs.
Further reading
Learn more about local property trends in the Commercial section.
Source note: This article includes information reported by San Jose Mercury News.
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