Security Properties Finances Seattle High-Rise Development
Construction is moving forward on The Confidential, a 29-story, 212-unit, 374,000-square-foot mixed-use building being developed in the Belltown submarket of Seattle for $193 million by Security Properties and joint venture equity partner MetLife Investment Management.
Cushman & Wakefield served as the exclusive advisor to Security Properties in arranging the $65.2 million joint venture equity investment with MetLife Investment Management and $115.3 million in construction financing from Bank OZK. A Cushman & Wakefield Equity, Debt & Structured Finance team of Dave Karson, Chris Moyer, Alex Lapidus and Meredith Donovan represented Security Properties in the transaction.
Karson, a Cushman & Wakefield vice chairman, said in prepared remarks the region is still facing a significant housing shortage due to the growth of technology jobs in the area. Karson said The Confidential will be a top choice for those working in Seattle or Bellevue, Wash. The property is near the Amazon campus, Westlake Center transit hub, waterfront and Pike Place Market. Seattle-based Security Properties broke ground on The Confidential in April and expects to deliver the building in the summer of 2024. The sponsors are pursuing LEED Silver certification.
Located at 2315 Fourth Ave., at the corner of Bell Street, the mixed-use building will include 8,000 square feet of ground-floor retail, 17,500 square feet of office space and 243 parking spaces. The residential units will average more than 900 square feet of space and most will have balconies. The developers are also planning to include work-from-home space in the apartments, which will have floorplans ranging from studios to three-bedroom layouts. The building will several outdoor terraces and plazas and it is adjacent to Bell Street Park. Community amenities will include a fitness center, lounge and theater.
VIA Architecture is designing The Confidential. Communita Atelier is the landscape architect and Exxel Pacific is the general contractor.
Security Properties Portfolio
A national real estate investment, development and operating company, Security Properties has acquired or developed nearly 80,000 residential units at a cost of $5.3 billion across 530 assets. As of late December, its Puget Sound portfolio totaled more than 5,900 units after acquiring Martingale, a 240-unit community in Lacey, Wash., for $92 million from The Wolff Co. Earlier that month, Security Properties had acquired two multifamily properties from The Wolff Co. totaling 480 units in Edgewood and Everett, Wash., for nearly $200 million.
Also in the Pacific Northwest, Security Properties refinanced Peloton Apartments, a 265-unit community in Portland, Ore., last May with a $71 million loan arranged by Cushman & Wakefield and provided by Hangang Asset Management on behalf of Woori Bank & KEG Hana Bank.