Lowe Finalizes Purchase of Tenth & G Apartments in Heart of San Diego
Lowe, a nationally recognized real estate investment, development, and management firm, has announced its acquisition of the Tenth & G Apartments, a premier multifamily residential property situated in the heart of downtown San Diego. The newly acquired property adds 207 modern residential units and approximately 8,250 square feet of ground-level retail space to Lowe’s growing portfolio of strategically located urban assets.
Located at 707 Tenth Avenue in San Diego’s lively Ballpark District, the acquisition underscores Lowe’s ongoing commitment to identifying and investing in well-located, high-quality multifamily assets in top-tier urban markets—particularly those that offer value enhancement potential through operational improvements and targeted capital upgrades.
“This acquisition represents a key part of Lowe’s national strategy to acquire best-in-class multifamily properties that are currently priced below replacement cost,” said Mike Lowe, Co-CEO of the firm. “Tenth & G offers us a unique opportunity to implement thoughtful upgrades while preserving housing attainability in one of the most desirable downtown submarkets on the West Coast.”
A Modern Community with Urban Appeal
Originally built in 2008, Tenth & G Apartments is an eight-story, steel-and-concrete mid-rise building that exemplifies modern urban living. The property offers a diverse mix of studio, one-, and two-bedroom units, all designed with a contemporary loft aesthetic. The average unit spans approximately 704 square feet and is characterized by high ceilings, floor-to-ceiling windows that usher in natural light, private balconies, and expansive views of the San Diego skyline and San Diego Bay.
Its robust construction and design quality have allowed Tenth & G to remain competitive in the local market over the years. However, with interior and amenity updates that match the evolving expectations of today’s urban renters, the property holds significant potential for value creation.
The total purchase price for the asset was $71 million, translating to approximately $343,000 per unit. This figure is notably below today’s construction and replacement costs for similar properties in downtown San Diego, reinforcing the investment’s attractiveness from a long-term value standpoint.
Enhancing Value Through Strategic Improvements
Lowe intends to implement a multi-faceted capital improvement program aimed at modernizing both unit interiors and shared amenity spaces. Planned renovations include the creation of a new leasing center and co-working space to meet the growing demand for hybrid work environments among urban professionals. The existing fitness center will be expanded and upgraded with new equipment and design features, while common areas such as lounges, rooftop decks, and outdoor courtyards will be enhanced to foster a stronger sense of community and leisure among residents.
In-unit improvements will include updated finishes, appliance packages, lighting fixtures, and smart home technologies, all tailored to meet or exceed the standards of comparable high-end rental communities in the vicinity. The ultimate goal of these renovations is to elevate the resident experience without pushing rents beyond the reach of the local workforce, thereby maintaining affordability while enhancing livability.
“These enhancements are part of our broader national value-add multifamily strategy, which is led by Bill Cockrum and executed in close collaboration with our regional teams,” said Mike McNerney, Executive Vice President at Lowe. “Our San Diego regional office, under the leadership of Todd Majcher, will play a central role in managing property operations and overseeing the implementation of upgrades that align with market demand.”
Exceptional Location in a Dynamic Urban Core
Tenth & G’s location within the Ballpark District places it at the epicenter of downtown San Diego’s most vibrant and rapidly evolving neighborhoods. With a Walk Score of 99 out of 100, the community offers residents exceptional walkability to a wide range of lifestyle amenities, cultural attractions, and transit options.
Within just a few blocks of the property are several of San Diego’s most iconic destinations, including PETCO Park—home to the San Diego Padres—the Gaslamp Quarter, East Village Green Park, and the Rady Shell at Jacobs Park. The surrounding area is also home to a diverse array of restaurants, entertainment venues, fitness studios, and boutique shops that cater to an active and engaged urban demographic.
Additionally, the property’s proximity to multiple public transit lines and major employment centers, including the downtown business district and the rapidly expanding tech and biotech hubs in the region, positions Tenth & G as an ideal residence for working professionals seeking an urban lifestyle with convenient access to work, recreation, and culture.
A Timely Investment in a Resilient Market
Lowe’s acquisition of Tenth & G comes at a time when many institutional investors are reevaluating their approach to multifamily investments due to shifting economic conditions and rising interest rates. However, Lowe’s long-term investment philosophy and deep market expertise allow the firm to capitalize on favorable pricing opportunities in resilient markets like San Diego, where housing demand consistently outpaces supply.
San Diego’s downtown area, in particular, has seen steady population growth, robust employment trends, and increased infrastructure investments that continue to drive demand for quality housing. These factors, coupled with limited new multifamily deliveries in the urban core, make the Tenth & G acquisition a sound strategic move.
“We’re focused on markets that demonstrate long-term economic and demographic resilience, and San Diego is one of the strongest examples of that nationwide,” noted Lowe Co-CEO Mike Lowe. “The combination of high barriers to entry, a constrained development pipeline, and sustained renter demand gives us confidence in this investment’s long-term performance.”
A Commitment to Responsible Stewardship
Beyond financial performance, Lowe remains committed to responsible property stewardship and community integration. The firm will work closely with local stakeholders and community partners to ensure that upgrades to the property contribute positively to the neighborhood’s ongoing revitalization while preserving the character and accessibility that have made the Ballpark District a desirable destination.
With this acquisition, Lowe continues to reinforce its national presence in urban multifamily investment and development, aligning each project with both market realities and a mission-driven approach to real estate that prioritizes people, place, and purpose.
