IPA Arranges $27M Seattle-Area Asset Sale
- Jul 18, 2019
Marcus & Millichap’s Institutional Property Advisors has secured the sale of Homestead, a 134-unit community in Federal Way, Wash. A private owner acquired the asset for $26.5 million, or $197,761 per unit. IPA represented the seller, Thayer Manca Residential in the transaction. IPA Capital Markets arranged a $19.9 million acquisition loan.
The 13 three-story buildings are located at 29225 Military Road S, in a submarket where, according to Yardi Matrix’s latest Seattle report, rent growth was among the strongest—4.3 percent year-over-year through February. Various dining, shopping and entertainment venues, including Laurelwood Park, Walgreens, Pizza Hut, Heritage Woods Park and 7-Eleven, are nearby.
Previously known as Rainier Meadows, the property was rebranded and 70 percent of the units were renovated. Completed in 1987, Homestead features a mix of one- and two-bedroom units ranging from 691 to 932 square feet. The community had an average rental rate of $1,376 as of June, Yardi Matrix data shows. Common-area amenities include a clubhouse with leasing office, fitness center, outdoor residents’ lounge, dog park, playground and an outdoor swimming pool.
IPA Senior Managing Directors Philip Assouad, Giovanni Napoli, and Vice Presidents Ryan Dinius and Sidney Warsinske worked on behalf of the seller and procured the buyer.