Madison Realty Capital, Red Cove Lend $132M for Seattle-Area Apartments Build

A joint venture between the Behar Company and HB Management has sealed $131.9 million of construction financing to build a multifamily development in a suburb north of Seattle, Commercial Observer has learned.

Madison Realty Capital supplied a $97.5 million construction loan while Red Cove Capital provided $34.4 million of mezzanine debt for the sponsorship’s 411-unit Edmonds Green project in Edmonds, Wash. The property sits on a 20,274 square-foot lot that Behar has owned since 2005 that is next to Edmonds Village, the developer’s three-building retail center.

“The Behar Company’s two decades of ownership at this site, together with an experienced development team and institutional partner in Red Cove, gives us strong conviction in Edmonds Green,” Samir Tejpaul, head of investments at Madison Realty Capital, said in a statement. “The property sits in a high-income, supply-constrained submarket with direct access to employment centers from Seattle and Bellevue to the aerospace and advanced manufacturing base to the north.”

Located at 7212 220th Street SW 15 miles north of Downtown Seattle, Edmonds Green will feature two apartment buildings with units ranging from studios to three-bedrooms. Twenty percent percent of the units will be designated as income restricted through the City of Edmonds‘ Multifamily Housing Property Tax Exemption program.

The Behar Company and HB Management did not immediately return requests for comment.

Andrew Coen can be reached at acoen@commercialobserver.com.

Source: commercialobserver.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.