Client challenge:

The City of San Gabriel, Calif., is working to revitalize its major corridors by replacing older industrial and automotive sites with modern mixed-use housing. At the City's request, Boand Group procured a market and financial feasibility analysis of a proposed multifamily and retail development as part of the City's public-private partnership process. The study was delivered to City leadership, elected officials and planning staff to inform review and decision-making.

Approach:

Feasibly conducted a market feasibility analysis paired with financial modeling covering:

• Demographic and socioeconomic analysis of population, income and renter demand

• Multifamily market assessment reviewing vacancy, absorption and new supply

• Retail and competitive-set analysis identifying how the project could stand apart

• Local housing and traffic analyses

• Financial modeling and a five-year pro forma for City and stakeholder review

Benefits to client:

Feasibly identified substantial regional demand drivers, along with material risks in the local multifamily market. The financial model projected the project reaching stabilization, and Feasibly concluded the development has long-term commercial potential. Its feasibility depends on disciplined pricing, compelling differentiation, sufficient lease-up reserves and careful management of near-term market and financing risk.