Big East Bay apartment complex is bought for more than $50 million

WALNUT CREEK — A big apartment complex in downtown Walnut Creek has been bought by a veteran real estate firm in a deal that tops $50 million and points to a profit for the property’s developer.

The Rise Walnut Creek, an apartment property at the corner of North California Boulevard and Cypress Street in the East Bay city’s downtown district, has been bought by an affiliate controlled by Hines, one of the nation’s most experienced and savvy real estate firms.

The Hines affiliate paid $57 million for the apartment complex, which is located at 1380 North California Boulevard in Walnut Creek, according to documents filed on May 17 with the Contra Costa County Recorder’s Office.

Texas-based Hines bought the apartment complex through an all-cash deal, the county records show.

Rescore Property, a Florida-based real estate firm, developed the apartment complex, according to the company’s website.

The Rise totals 97 units, the Rescore website shows. The site also has a ground-floor commercial space that a fitness center might occupy, according to an on-site representative for the apartment complex.

It appears Rescore managed to recoup its basic investment in the property, this news organization’s review of multiple county documents shows.

In 2015, Rescore paid $8.8 million to buy the project site from McDonald’s Corp., which had a restaurant on that site for numerous years.

In 2018, Barings Credit Real Estate Strategies provided Rescore with $38.5 million in construction financing for the property. Rescore completed the project in 2023.

The $57 million that the Hines affiliate paid for The Rise would more than cover Rescore’s combined $47.3 million in costs to buy the McDonald’s restaurant site and pay off the construction loan’s original amount.