—Pacific Urban Residential has gained two loans totaling $43.7 million for the acquisition of two apartment communities here and in Kirkland, Wash.
Mesa West Capital originated the first mortgage debt, separately collateralized by Totem Lake Apartments, a 200-unit community in Kirkland, and Waterstone at Cheviot Hills, a 120-unit apartment complex here. Both loans carried a three-year term and each represented 75 percent of total acquisition and repositioning costs.
Pacific Urban purchased Waterstone at Cheviot Hills, a four-story apartment building featuring 120 studio, one- and two-bedroom units, for $21.3 million. Built in 1986, Waterstone features a rooftop swimming pool, fitness center and renovated common area. Pacific Urban plans to undertake a significant renovation of all unit interiors. The property is 98 percent occupied.
Pacific Urban acquired Totem Lake for $22.4 million from Security Properties of Seattle. Built in 1977, the property sits on more than 18 acres adjacent to Kirkland’s largest employer, Evergreen Hospital. A portion of the loan proceeds will be used to complete a multi-million dollar renovation initiated by the seller, which includes upgrades to the interior finishes and the addition of washers and dryers in each unit. The property is 96 percent occupied.
“Seattle and Los Angeles are strong, highly desirable institutional multifamily,” says Mesa West’s Brandon Bachner, who originated the financing. Both financings were arranged by Jake Roberts and Anita Paryani Rice with Marcus & Millichap Capital Corp.