MSquared JV Scores $54M for Seattle Mixed-Income Development
Half of the units at Kōz on Alderwood will be set aside as affordable.
MSquared and Kōz Development have obtained $54 million in financing for the development of Kōz on Alderwood, a 200-unit mixed-income community in the Seattle suburb of Lynnwood, Wash.
The financing package includes:
- $35 million in debt from Coastal Community Bank;
- $13 million in equity from MSquared;
- $6 million in equity from Kōz Development investors.
Approximately half of the units at Kōz on Alderwood will be set aside for residents earning up to 80 percent of the area median income, while the reminder will be market-rate.
The two women-led development companies are expected to break ground on the project this spring, with completion slated for winter 2025.
MSquared recently partnered with Mintwood Real Estate, another women-owned company, for the development of a 219-unit mixed-income community in Dallas’ Oak Cliff neighborhood. The Class A property will feature both affordable and market-rate units.
A sustainable development
Designed as a sustainable development, Kōz on Alderwood will be constructed according to Washington State’s Built Green requirements. The community will comprise studio, one- and two-bedroom apartments across a six-story building and will feature parking spaces and electric charging stations.
Located at 4301 Alderwood Mall Blvd., the development site is to interstates 5 and 405. The transit-oriented community will rise adjacent to the future location of Lynnwood Transit Center, the northern terminus of a light rail extension that connects the city to downtown Seattle.
The Kōz on Alderwood project is part of the Lynwood City Center district, which is currently undergoing a redevelopment process. Plans call for the construction of 1,900 apartments, more than 500,000 square feet of office and 200,000 square feet of retail space in the area.