Multi-housing community near Seattle, WA secures $18 million Freddie Mac senior loan and $13.5 million subordinate loan from Amazon Housing Equity Fund

 Mary Dooley

 

SEATTLE, WA – JLL Capital Markets has underwritten and closed a $17.95 million Freddie Mac Senior Loan and a $13.5 million subordinate loan from Amazon Housing Equity Fund for the acquisition of Sage Apartments, a 123-unit, garden-style multi-housing community in the suburban Seattle community of Everett, Washington.

Sage Apartments, a 123-unit, garden-style
multi-housing community in the suburban
 Seattle community of Everett, WA

The new owner, Alliant Strategic Investments and Nuveen Real Estate Capital, is converting 100 percent of its units affordable to households making less than 80 percent of the area’s median income levels to address the growing need for affordable housing in the Seattle MSA. The restriction will be in place for 99 years. 

J. Paul Smith

The Capital Markets Debt Advisory team representing the borrower included Senior Director J. Paul Smith and Directors Drew Heitstuman and Mary Dooley.

“The creation and preservation of affordable housing is a critical issue we all face,” said Smith.

 “Alliant Strategic Investments and Nuveen Real Estate Capital are industry leaders committed to solving the issue. JLL is thrilled to have assisted in their efforts to preserve affordable housing options for the residents of Everett, WA.

Drew Heitstuman

"Further we are grateful for the creative and tireless efforts of Freddie Mac and the Amazon Housing Equity Fund. 

"We hope this pioneering transaction will spur additional affordable housing preservation.”

 JLL worked on behalf of the borrower, a partnership between Alliant Strategic Investments and Nuveen Real Estate Capital, to secure the 10-year, fixed-rate loan through Freddie Mac.

The loan will be serviced by JLL Real Estate Capital, LLC, a Freddie Mac Optigo℠ lender. Additionally, JLL underwrote the supplemental debt on behalf of the Amazon Housing Equity Fund. 

The closing is the first project to successfully utilize both Freddie Mac and Amazon’s subordinate loan offering. 

Stephen (Steve) Johnson,

“Freddie Mac's participation in the financing of Sage Apartments reflects our relentless commitment to the design and development of unique financing structures that produce and preserve affordable housing for renters nationwide," said Steve Johnson, vice president of Small Balance Loan and Targeted Affordable Sales & Investments at Freddie Mac. 

 "We are proud to partner with JLL, Alliant Strategic Investments, Amazon and Nuveen Real Estate Capital to provide safe, affordable housing to the community of Everett, WA for years to come."

“The Amazon Housing Equity Fund is truly making an impact and this transaction is a great example of putting words into action,” C.W. Early, Senior Managing Director, JLL Capital Markets said.

C.W. Early

“They provided attractive long- term subordinate financing to allow ASI to purchase and renovate the property, which included putting 99-year affordability restrictions in place.”

 “Furthermore, the Amazon Housing Equity Fund continues to demonstrate innovative means to address financing gaps in the market to facilitate the delivery of critically important affordable housing units” Martine Combal, Senior Vice President, JLL Public Institutions stated.

Sage Apartments contains one- and two-bedroom units ranging from 621 to 989 square feet that feature balconies or patios with extra storage, walk-in closets and in-unit washer and dryers.

The community amenities include a resident clubhouse, fitness center, Amazon Hub package locker, pool, outdoor seating and barbecue area, dog park, car wash station and security patrol.

Martine Combal

Built in 2007 with only minor upgrades to 13 percent of the units, the new owner plans to upgrade all unit interiors.

 Situated at 1730 112^th St. SW, Sage Apartments is located only four minutes from Interstate 5, providing easy access to the region’s largest employers via 112th Street Southwest.

In addition, residents can walk to both northbound and southbound Swift transit stations in seven minutes or less, providing access to nine Everett Transit bus lines and a 653-space park and ride.

CONTACT:

 Cierra Lacasse

 JLL Associate

 Public Relations

Phone: +1 602 648 8701

Email:  Cierra.Lacasse@am.jll.com