Suburban Seattle Community Commands $88M

The sale marks the largest multifamily deal in its local market since 2017.
Ethos Community. Image via Google Street View

The Shidler Group has paid $88.1 million for Ethos Community, a newly constructed, 492-unit luxury property in Kent, Wash., according to public records. A consortium of lenders led by Kennedy Wilson provided $61.6 million in acquisition financing.

The seller, Landmark Development Group, broke ground on the project in mid-2018. Wells Fargo financed construction with a $55.4 million loan, Yardi Matrix data shows.

Located at 2200 W. Meeker St., Ethos’ 23 buildings offer a mix of studio, one-, two- and three-bedroom units, with floorplans ranging from 452 to 1,222 square feet. Community amenities include a 24-hour fitness center, an outdoor swimming pool and electric vehicle-charging stations. The property also includes 6,000 square feet of retail space.

The community, 20 miles south of downtown Seattle, is located alongside Washington Route 516, a short distance from Interstate 5. The surrounding area offers abundant green space, including a park and golf course along the Green River. The Washington Avenue North retail corridor is 1 mile to the east.

Investment picks up

Multifamily investment across Seattle has picked up in 2021, with nearly $1.3 billion in transactions closed through the end of July, according to Yardi Matrix data. This marks an increase of nearly 80 percent compared to the same period last year.

The disposition of Ethos marks the largest multifamily deal in Kent since mid-2017, when Kennedy Wilson traded the 576-unit Central Flats for $108.5 million. While nearly all of Seattle’s largest transactions outside the urban core have been concentrated in high-growth submarkets such as Bellevue this year, investors continue to seek out opportunities in the market’s southern reaches. Earlier in August, Berkadia brokered an $85.5 million portfolio sale of 490 units in the area.