SEATTLE, WA - CBRE announced that Mill Creek Residential Trust has bought out their previous partner’s stake in Modera Broadway apartments, located in the heart of Seattle’s Capitol Hill neighborhood. Mill Creek and AEW Capital Management developed the multifamily community together, which completed construction and opened in 2021. Mill Creek acquired AEW’s stake in the property this week for an undisclosed sum.
Eli Hanacek, Jon Hallgrimson, Mark Washington and Kyle Yamamoto with CBRE’s Pacific Northwest multifamily team advised Mill Creek and AEW on the transaction.
“Our team presented the owners with a range of options for Modera Broadway’s future, and they chose the option that best aligned with their long-term strategy. Mill Creek Residential Trust is optimistic on the area’s demographic trends and that its ownership will result in long-term value and favorable returns,” said Hanacek, vice chairman, CBRE.
Modera Broadway is located at 1732 and 1812 Broadway, adjacent to the streetcar line, Capitol Hill light rail station and Cal Anderson Park. The two buildings stand seven stories with 228 luxury apartments. Floorplans include studio, one bedroom and two bedrooms with an average unit size of 641 sq. ft. The property also has ground-floor retail, two club rooms, a fitness center/yoga studio, coworking space, a dog run, and three rooftop decks with views of downtown Seattle, Cal Anderson Park and the Olympic Mountains.
Multifamily is the property type most-sought-after by investors in 2023, according to CBRE’s 2023 U.S. Investor Intentions Survey. While rapidly rising interest rates lessened commercial real estate investment activity nationally in the second half of 2022, CBRE’s 2023 Outlook report anticipates tailwinds to the multifamily sector in 2023, with one of the greatest being the skyrocketing cost of home ownership. In Seattle, the average monthly mortgage payment was 2.5 times the average rent in the third quarter of 2022, according to CBRE research.
About Mill Creek Residential Trust LLC: Mill Creek Residential Trust LLC is a national rental housing company focused on the development, acquisition and operation of rental communities in targeted markets nationwide. The national company, headquartered in Boca Raton, Florida proactively develops, acquires, constructs and operates communities through its seasoned team of real estate professionals in offices across the United States. Mill Creek is building its portfolio in many of the nation’s most desirable markets in Seattle, Portland, the San Francisco Bay area, Southern California, Phoenix, Denver, Dallas, Austin, Houston, South Florida, Tampa, Orlando, Atlanta, Nashville, Charlotte, Raleigh, Washington, D.C., New Jersey, New York, and Boston. As of September 30, 2022, the company’s portfolio is comprised of 125 communities representing over 33,875 rental homes that are operating and/or under construction. For more information, please visit www.MillCreekPlaces.com
About CBRE Group, Inc. CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2022 revenue). The company has approximately 115,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.