LaSalle Investment Management Acquires 27 North Apartments in San Jose for $59.4 Million, Taps The Dinerstein Companies as Operator
LaSalle Investment Management has acquired 27 North Apartments, a 119-unit, 482-bed student housing community located at 27 N. 6th St. in San Jose, California, for $59.4 million. The Dinerstein Companies, a national student housing operator, will serve as the property's operating partner, the Chicago-based investment manager announced Sept. 22, 2026.
The transaction values the asset at approximately $499,160 per unit and approximately $123,237 per bed. The property was 100% occupied at the time of acquisition.
Property and Location Details
Built in 2016, 27 North Apartments is a seven-story, Class A student housing community situated on approximately 1.1 acres roughly two blocks from the San Jose State University campus. The property includes 482 beds across a mix of two-, three- and four-bedroom apartment layouts, two levels of structured parking, in-unit laundry, a pool and spa, and study lounges.
San Jose State University serves as a primary feeder institution for Silicon Valley's technology industry, and the surrounding area presents constrained supply of purpose-built student housing, according to LaSalle. University housing data indicate that demand for campus-affiliated beds has consistently exceeded available on-campus inventory, with roughly 5,787 students requesting university housing against approximately 5,005 existing on-campus beds, and a waitlist of 104 students.
Investment Rationale
Jeff Shuster, President of LaSalle Value Partners, said the property's fundamentals and location drove the acquisition decision.
"27 North combines strong in-place cash flow with attractive market dynamics in a location supported by a large and growing student population," Shuster said. "We believe active asset management can enhance the property's performance and support long-term value creation for our investors."
Joseph Paskov, Senior Vice President of LaSalle Value Partners, emphasized the scarcity of comparable assets in the submarket.
"Situated two blocks from the San Jose State University campus in the heart of Silicon Valley, 27 North is a high-quality asset in an irreplaceable location," Paskov said. "We believe the property is well-positioned to serve the growing SJSU student body at a time when well-located, purpose-built student housing in San Jose remains extremely limited."
The acquisition reflects LaSalle's stated strategy of deploying capital into stabilized assets with immediate operating income. The property's full occupancy at closing provides in-place cash flow from day one.
Operating Partnership with The Dinerstein Companies
The involvement of The Dinerstein Companies as operating partner gives LaSalle a specialized platform for leasing, resident services and day-to-day asset management. Dinerstein operates student housing communities nationally and brings sector-specific expertise to the property's ongoing operations.
The seller of the asset was CityView and Symphony Development. The deed was recorded with Santa Clara County on Aug. 27, 2026, with a Dinerstein-affiliated entity listed as the purchasing entity, consistent with LaSalle's role as investment manager and Dinerstein's role as operating partner.
Market Context and LaSalle Platform
The $59.4 million purchase price reflects the premium that institutional investors have assigned to purpose-built student housing in supply-constrained urban markets adjacent to major universities. Individual apartments at 27 North range from approximately 845 to 1,408 square feet, and the property's downtown San Jose location provides walkable access to the SJSU campus as well as the broader Silicon Valley employment base.
LaSalle Investment Management, a subsidiary of JLL, manages $86.6 billion of assets globally across private and public real estate equity and debt investments as of the first quarter of 2026. The firm's client base includes public and private pension funds, insurance companies, governments, corporations, endowments and private individuals.