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BOTHELL, WA-Fairfield Residential has sold a 120-unit apartment complex here for $11 million. The new owner is the Housing Authority of Snohomish County. The cap rate on the investment is in the 5% range.

The seven-building, garden-style complex sits on 10 acres at 20415 Bothell-Everett Highway. It was developed in 1989. The seller’s broker, Jon Hallgrimson of CB Richard Ellis, tells GlobeSt.com the property has double-digit vacancy when it was put under contract for $95,833 per unit but thanks to an improving economy was closer to the mid single digits by the time the sale closed escrow.

“The market is improving rapidly up there,” says Hallgrimson. “They got the benefit of a tailwind.”

Asking rents at the complex are around $1 per sf. Common area amenities include an indoor pool, spa and sauna facility, an indoor sports gymnasium with a full basketball court, a children’s play area and a fireside lounge and kitchen. In-unit amenities include a dishwasher, washer and dryer and a wood-burning fireplace.

Hallgrimson says the Housing Authority buys an apartment complex once every year or two and maintains them as affordable. They issue their own bonds to pay for the acquisitions, he says. The consultant who procured the bond financing, Jim Brawner, could not be reached Tuesday afternoon for additional detail.

According to HASCO’s Web site, it owns nine low-income apartment properties, eight affordable properties such as Autumn Chase, and 12 more rural properties that are reserved for the elderly, disabled or families.

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