Security Properties finances skyscraper development in Seattle
Construction is progressing on The Confidential, a 29-story, 212-unit, 374,000-square-foot mixed-use building being developed in Seattle’s Belltown submarket for $193 million by Security Properties and joint venture partner MetLife Investment Managementt.
Cushman and Wakefield was the exclusive advisor to Security Properties in arranging the $65.2 million equity investment in the joint venture with MetLife Investment Management and $115.3 million in the construction financing of OZK Bank. A Cushman & Wakefield Equity, Debt & Structured Finance team comprising Dave Karson, Chris Moyer, Alex Lapidus and Meredith Donovan represented Security Properties in the transaction.
Karson, vice president of Cushman & Wakefield, said in prepared remarks that the area still faces a significant housing shortage due to the growth of tech jobs in the area. Karson said The Confidential would be a top pick for those working in Seattle or Bellevue, Washington. The property is close to the Amazon campus, Westlake Center transit hub, waterfront, and Pike Place Market.
Seattle-based Security Properties opened The Confidential in April and plans to deliver the building in the summer of 2024. The sponsors are pursuing LEED Silver certification.
Located at 2315 Fourth Ave., corner of Bell Street, the mixed-use building will feature 8,000 square feet of ground floor retail, 17,500 square feet of office space and 243 parking spaces . Residential units will average over 900 square feet of space and most will have balconies. The developers also plan to include a work-from-home space in the apartments, which will have floor plans ranging from studios to three-bedroom layouts. The building will have several terraces and outdoor spaces and it is adjacent to the Bell Street park. Community facilities will include a fitness center, lounge and theatre.
VIA Architecture designs Le Confidential. Community workshop is the landscape architect and Excel Peaceful is the general contractor.
Portfolio of security properties
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. By 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, Oregon, last May with a $71 million loan arranged by Cushman & Wakefield and provided by Hangang Asset Management on behalf of of Woori Bank & KEG Hana Bank.