sold

West Seattle Junction Portfolio

Apartment portfolio developed by local developer sold to institutional buyer

Two smaller properties sold at portfolio to institutional buyer
Achieved record pricing despite challenging capital markets environment

Case Study

CHALLENGE:

Our client, a local Seattle developer, built two smaller properties in the charming West Seattle neighborhood, yet neither were large enough to attract institutional interest. Additionally, the property had dated unit interiors and smaller unit sizes. Confounding these challenges, we marketed the property post COVID-19 and after the closure of the West Seattle bridge, massively impacting accessibility to West Seattle.

WHAT WE DID:

We took a strategic approach to overcome these challenges by selling West Seattle as its own urban submarket. We showcased West Seattle’s resilience – compared to Seattle neighborhoods – positioning the properties as a durable investment. Additionally, we marketed the properties as a portfolio to gain operational efficiencies, and demonstrated that cosmetic updates and efficient floor plans would drive rental rates for the buyer.

RESULT:

Our broad marketing of the property, unique storytelling, and blind-auction process resulted in extremely strong competitiveness amongst 6 top buyers. We worked closely with our client to draft a contract with the top buyer that resulted in a record-breaking price per square foot for West Seattle and a contract-to-close process that was completed in 45 days. Our unique marketing campaign and curated process created the exact outcome our client desired, a quick sale to a single institutional buyer, at record pricing.

Site Details

Sale Date

April 19, 2022

Sale Price

$58,300,000

Price per Unit

$410,564

Price per SF

$744

Cap Rate

3.8%

View Original Listing

“Me and my partners have been developers for decades, but do not often sell. We hired the Simon Anderson Team to sell our new construction 62-unit and 80-unit buildings in West Seattle and could not be happier with the results.

They follow through on all commitments, put together outstanding marketing materials, and created a lot of competition, achieving terrific sales prices for us. They are highly reliable, good communicators, and we believe we made an excellent choice trusting them with these sales.”

- Kevin K., Seattle