MainStreet, HAL Land $66M for Seattle-Area Project
The duo acquired the land in late 2022 for $23 million.
A joint venture between MainStreet Property Group and HAL Real Estate Investments has secured $66.2 million in construction financing for the development of Eastrail Flats, an upcoming 207-unit multifamily community in the Seattle suburb of Woodinville, Wash. The lender is Principal Life Insurance, as reported by Commercial Real Estate Direct. Institutional Property Advisors, a division of Marcus & Millichap, originated the five-year loan which features 31 months of interest-only payments and a 30-year amortization.
The partners acquired the roughly 4.3-acre development site for $23 million in late 2022. Eastrail Flats represents the first phase of the project, followed by a second stage that will create 63 townhomes. GenCap Construction Corp. is the general contractor, while architecture was provided by Dahlin Group Architects. Insite Property Solutions will serve as property manager. Groundbreaking is expected later this year.
The five-story building will incorporate 24,000 square feet of ground-floor retail space, 50 percent of which has already been leased to Birch Tree Academy. Common-area amenities will encompass a rooftop wildlife habitat, fitness center, lounge area and pet washing station. The project will include 21 affordable residences and is will aim for LEED Platinum certification.
An ideal suburban Seattle location
Situated at 13400 NE 175th St., the site is close to Interstate 405 and some 20 miles from Seattle. Situated in the heart of Woodinville’s downtown, the property is surrounded by numerous retail, dining and entertainment options.
Senior Vice President Raymond Allen and Vice President Seth Heikkila led the IPA team that originated the loan on behalf of the borrower. The deal was part of a trio of recent financings arranged by the company in suburban Seattle, totaling $173 million, which included a $66.7 million note for The Spark. Also developed by MainStreet, the project will create 211 units in Redmond.