Target Information

The Chester at Westlake is a landmark mixed-use development located at 99 Southgate Avenue in Daly City, California. Developed by Bozzuto in partnership with Kimco Realty, this project marks Daly City’s first major market-rate apartment community in over 15 years. Slated to open in winter 2027, it will feature 214 residential units with a mix of studio, one, two, and three-bedroom apartments, alongside more than 13,000 square feet of communal amenities and nearly 10,000 square feet of retail space. The design aims to create a modern living experience while honoring the rich legacy of the Westlake Shopping Center, a significant community hub since its inception.

This strategically planned community will not only provide residents with thoughtfully designed apartments but will also enhance Westlake as a vibrant destination for shopping and social activities. The project embodies a blend of residential and retail spaces, ensuring that The Chester becomes an integral part of Daly City’s growth and revitalization.

Industry Overview

The residential real estate market in Daly City, and the broader Bay Area, has seen significant transformations over the past two decades. As housing demand continues to rise, particularly in proximity to urban centers like San Francisco, mixed-use developments have become increasingly essential. The integration of living spaces with retail services offers residents convenience and enhances community connection.

Daly City, strategically located just south of San Francisco and near the Pacific Coast, remains a sought-after area due to its accessibility and established neighborhoods. The region's rental market is characterized by a need for modern amenities and diverse housing options to accommodate a growing population. Development projects like The Chester at Westlake aim to address this demand while providing quality living environments.

Additionally, California's ongoing housing crisis underscores the necessity for new developments in the state. The increasing regulatory support for mixed-use projects reflects an acknowledgment of the need for sustainable urban planning, thereby paving the way for more initiatives that blend residential, retail, and recreational spaces in tight urban settings.

With the focus on community-driven design, projects like The Chester contribute to the revitalization of established neighborhoods, fostering modern living while preserving local character. This approach not only fulfills market demands but also enhances community engagement, a critical factor in contemporary urban development.

Rationale Behind the Deal

The Chester at Westlake is a strategic initiative reflecting both Bozzuto and Kimco Realty’s commitment to transforming retail spaces into dynamic mixed-use environments. This partnership aims to rejuvenate Daly City by creating quality housing solutions that cater to modern residents' needs, integrating retail and residential offerings in a way that bolsters community activities.

The project is a response to the demand for market-rate housing in an area that has historically struggled to provide enough units to accommodate its growing population. By enhancing the existing retail infrastructure at Westlake Shopping Center, the developers approach the challenge of housing scarcity effectively while simultaneously fostering economic growth in the area.

Information About the Investor

Bozzuto is a highly regarded real estate development company, known for its innovative approaches to multifamily housing and active commitment to customer service. Founded in 1988, Bozzuto has successfully delivered over 62,000 homes and manages approximately 130,000 apartments across the United States, establishing itself as a leader in residential development.

Kimco Realty, trading on the NYSE under the symbol KIM, is a prominent real estate investment trust focused on the ownership and operation of high-quality, open-air shopping centers and mixed-use properties. With a portfolio encompassing over 101 million square feet of retail space, Kimco has built a reputation for enhancing community-oriented developments, bringing essential services and housing options to suburban areas.

View of Dealert

The Chester at Westlake represents a promising investment opportunity for both Bozzuto and Kimco Realty. Given the strategic location and the focus on mixed-use development, this project is well-positioned to meet the growing demand for housing in Daly City and the greater Bay Area.

By introducing modern residences alongside retail options, The Chester appeals to a diverse demographic, increasing the likelihood of rapid tenant uptake upon completion. Additionally, the revitalization of Westlake Shopping Center supports urban renewal, a significant aspect of contemporary real estate investments.

Furthermore, the commitment to sustainability, targeting LEED Gold certification, enhances the project's appeal in an increasingly eco-conscious market. This focus on environmental responsibility aligns with investor values, reflecting a broader commitment to social impact.

Overall, The Chester at Westlake is set to play a crucial role in the evolution of Daly City's urban landscape, making it a sound investment choice that combines residential demand with community enhancement. The potential for long-term success is evident as both developers leverage their expertise to create a thriving community.

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