AUBURN, WA-Cobalt Properties of Seattle has sold a majority stake in Belara at Lakeland, a 430-unit apartment development here that is about 20% leased. Cobalt’s new partner is San Diego-based Colrich, which acquired the interest in partnership with Apollo Real Estate Advisors.

The property is located east of Highway 167 at 6170 Terrace View Lane SE, providing views of Sumner Meadows Golf Links. Kenny Dudunakis of Hendricks & Partners, who brokered the transaction, tells that leasing for the garden-style development started in January. The first phase of the development is complete and the second phase should be done at the end of August.

Dudunakis declined to comment on the value of the transaction. Other local sources tell the development was valued at around $50 million, which translates to a stabilized cap rate in the 5% range.

Units are outfitted with broadband Internet, air conditioning, slab granite countertops, washer and dryer, and a computer desk. Amenities include a 24-seat resident movie theater, sun terrace, basketball court, fitness center and a heated pool and spa.

Colrich’s Sacramento-based co-president Danny Gabriel tells the property will remain apartments. Colrich doesn’t usually joint venture with sellers, but did in this case because Cobalt principal Stephen MacKay wanted to stay in, it likes the product that Cobalt is developing and it likes the prospect for further upside as the local economy continues to rebound.

Colrich owns three properties in the Pacific Northwest. With Apollo, it also owns the Ione Plaza apartment tower in Portland, OR. With Los Angeles-based Resmark, a CalPERS fund advisor, Colrich owns the 238-unit Avalon Wildwood Apartments in Lynwood, which is being converted to condominiums.

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