SEATTLE—GlobeSt.com has exclusively learned that a partnershipthat includes Chicago-based Origin CapitalPartners and Randolph Street RealtyCapital has completed the sale of the Residences at 3295in Seattle, WA, just two years after its acquisition and followingthe completion of a build-out and repositioning program. Theproperty was sold to an institutional multifamily investor for$15.5 million.

|

The Residences at 3295 is a six-story, 60-unit apartment projectthat also includes 2,784 square feet of ground floor retail space.At the time of its sale, the residential units were 95% leased andthe retail space was leased in total to a neighborhood restaurantand lounge through 2018.

|

The brokerage firm of Hendricks-Berkadiarepresented the sellers.

|

According to DavidWelk, director of acquisitions of the Southeast & Westat Origin Capital Partners, “This sale represents a strongexecution of the underwritten business plan on every facet—projectscope, timing, cost, operational performance and, ultimately, witha well-timed disposition. Given where we were at in this point inthe West Seattle development cycle, it was viewed as an opportunetime to sell and we are very pleased with the results.”

|

In April 2012, when the Origin/Randolph Street partnershippurchased the asset, it was a stalled condominium project. Thevacant building was approximately 70% complete upon acquisition andeffectively in shell condition. The original developer, whohad purchased the property out of bankruptcy, lacked the financialresources to complete the project.

|

Within 12 months of acquisition, the partnership completed a$3.6 million renovation project. This included the completion ofelectrical, plumbing, landscaping, facade and HVAC in the commonareas and completion of drywall, cabinets, countertops, flooringand carpeting in the residential units as well the build-out of thecommercial space. The amenities offered at the property areunmatched by other boutique-sized assets with a fully furnishedrooftop deck offering views of Downtown Seattle and Mount Rainer, asecond terrace-level deck with BBQ grills and fire pits, 24-hourfitness center, bike room and storage units.

|

“The Seattle market has proven to be one of the strongest in thecountry in terms of job growth and multifamily investment as oflate. There was a clear value-add proposition which we were able toexecute, and rather than refinance we decided to take advantage ofthe strong environment and sell the property to an institutionalinvestor,” says Jonathan Saliterman, principal ofRandolph Street Realty Capital.

|

The Residences at 3295 was the second property in Seattleacquired by the Origin/Randolph Street partnership. They own andmanage Bay Club Apartments, an 88-unit garden-style apartmentcomplex in Des Moines, WA. The partnership has also acquiredtwo assets in the Chicago market, Lux24 and NaperPlace.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Natalie Dolce

Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.