1730 Bay Rd

The Courtyard at Bay Road Apartments is a 77-unit affordable housing community located at 1730 Bay Road in East Palo Alto, California. Built in 2005 and situated on 1.6 acres, the property offers approximately 106,705 rentable square feet and a diverse unit mix of one-, two-, three-, and four-bedroom floor plans designed for family living. (See unit mix table for details.)

This well-managed, professionally operated community presents a rare opportunity for nonprofit housing providers and impact-focused private funds to acquire a high-quality, income-restricted asset in the heart of the Bay Area — one of the most supply-constrained and high-demand affordable housing markets in the country.

Investment Highlights for Nonprofits and Mission-Aligned Funds:

Welfare Property Tax Exemption (Nonprofits): Qualified nonprofit buyers may be eligible for a full property tax exemption under California’s Welfare Exemption, significantly increasing cash flow and long-term sustainability.

Low-Income Housing Tax Credit (LIHTC) Compliance: The property is a designated LIHTC site, offering long-term regulatory stability. For nonprofits and private funds experienced in managing LIHTC assets, this presents a mission-aligned acquisition with dependable government-supported rental income.

Mission-Driven Asset with Public Support: The majority of tenants benefit from HAP subsidies or other rental assistance, creating a financially stable environment while fulfilling a critical social need — making the asset highly suitable for impact investors and community housing nonprofits.

Attractive Long-Term Hold Strategy: For funds and organizations seeking low-risk, cash-flowing assets, this property offers recession-resilient performance with predictable income. Additionally, affordable housing continues to be a priority at local, state, and federal levels, offering access to favorable public and private financing options.

Strategic Bay Area Location: Located in East Palo Alto, a community adjacent to Palo Alto and Menlo Park, the site offers excellent proximity to major employment centers, public transit, retail, and services. Its central position on the Peninsula ensures strong, ongoing demand for affordable units.

ESG and CRA Alignment: The property supports broader Environmental, Social, and Governance (ESG) and Community Reinvestment Act (CRA) goals, making it particularly attractive for funds with socially responsible mandates or banking partners seeking CRA credit.

The Courtyard at Bay Road Apartments is more than a real estate investment — it’s a rare opportunity to advance affordable housing goals while benefiting from powerful tax incentives, stable cash flow, and long-term financial viability. Ideal for organizations and funds seeking to make a lasting impact in one of California’s most underserved rental markets.