BETHESDA, MD - Foulger-Pratt based in Potomac, Md. will develop The Rae at Westlake at 10401 Motor City Drive adjacent to Westfield Montgomery Mall in Bethesda, Md. The five-story, 343-unit building will include 299 market-rate and 44 affordable housing units. On-site amenities will include a dedicated dog run and pet spa, 24-hour fitness center, bocce courts, pedestrian leisure trail, two courtyards with pool and grilling, co-working space and community event space.
The adjacent Westfield Montgomery Mall has 750,000 square feet of retail with over 40 dining destinations, theaters and a bowling alley. The redevelopment will include a 135,000 square foot retail anchor and 128,000 square feet of additional outdoor retail.
The site is located off I-270, which is a major technology corridor; near I-495; and within a biotech and life sciences corridor that includes 350 life sciences companies and extends across Montgomery County from Bethesda to Silver Spring. The prevalence of large federal government operations in the area, including the National Institutes of Health and the U.S. Food and Drug Administration, have been a magnet for private firms access to research and talent.
440 individual investors on CrowdStreet provided equity for this project. Washington, D.C. is among CrowdStreet’s “Best Places to Invest in 2021,” a national ranking of top markets. CrowdStreet ranks metro Washington (which includes suburban Maryland) as a top 10 market for multifamily development.
Initial occupancy is expected in the third quarter of 2023.
Background on Project Capitalization
$42.7 million sponsor and investor equity, including $22.3 million from CrowdStreet investors
$76.8 million construction loan from Wells Fargo
$119.5 million total development value
In Developer’s Own Words
Cameron Pratt
Managing Partner & CEO
Foulger-Pratt
“The Rae at Westlake is adjacent to Westfield Montgomery Mall, which is undergoing significant redevelopment to become an indoor-outdoor lifestyle center. As the plans come to life, the result will be a vibrant, dynamic live-work-play community. At the same time, growth in the biotech and life sciences sector should generate even more employment opportunities in the area, which in turn should create even more demand for residential product like The Rae.”
“We have been following CrowdStreet and watching the size of their capital raises grow. Our success with The Rae demonstrates the platform’s potential. It was a very efficient process with a great outcome. We’re impressed with CrowdStreet.”
In CrowdStreet’s Own Words
David Govshtein
Managing Director
CrowdStreet
“The Foulger-Pratt offering on CrowdStreet is an example of our Marketplace bringing to investors opportunities that reflect our investment thesis, which ranks the Washington, D.C. metro area highly overall and as a top market for multifamily development. Investors on CrowdStreet responded very favorably to this project, pledging over $20 million in one day.”
About Foulger-Pratt: Established in 1963, Foulger-Pratt is a real estate investment and development firm distinguished by its long-term focus and extensive experience executing successful mixed-use, transit-oriented projects. The firm’s disciplined culture and vertically integrated platform have enabled it to develop more than 15 million square feet of commercial office, multifamily residential and retail projects. From acquisition to development and construction to asset management, the company’s fully integrated teams create value at all stages of an investment’s lifecycle. For more information, visit www.foulgerpratt.com
About CrowdStreetL: CrowdStreet operates an award-winning online real estate investment marketplace that gives investors access to private equity real estate. By combining real estate investment education with an advanced online marketplace that offers the ease and convenience of online investing, CrowdStreet gives individual investors direct access to the most diverse range of institutional-quality investment opportunities. To date, thousands of investors have invested over $1.9 billion in more than 480 projects, receiving approximately $200 million in distributions. CrowdStreet is helping to create a community where individual accredited investors and experienced commercial real estate firms can work together to expand participation in real estate investing. For more information, visit www.crowdstreet.com