By Meghan Hall
Blackstone is continuing to bet big on the Puget Sound commercial real estate market. In a deal that closed on July 29th, the global investor purchased both the Ascent Lake Union Apartments and the Marlowe Apartments for a healthy $302.75 million. Public records indicate that the seller is affiliated with Goldman Sachs Realty Management.
Located at 1145 Republican Street and developed by Greystar, Ascent Lake Union was the neighborhood’s first residential tower. The 25-story luxury apartment high-rise opened at the end of 2019. With 251 units, the residences are a mix of one-, two- and three-bedrooms and reflect a contemporary style. Finishes include custom closets, Alexa-controlled lighting and window shades, TV screens embedded into bathroom mirrors, hard surface floors and tile backsplashes.
“Ascent South Lake Union is a new collection of homes and penthouses accented by signature interior design, unrivaled amenities, seamless resident services and breathtaking views – all in one of Seattle’s most sought-after locations,” states the property’s website.
A rooftop lounge and open-air deck, organic green roof, a rooftop spa, indoor entertainment kitchen, a pet spa, and state-of-the-art fitness center are part of the community’s amenity offerings. According to Greystar’s website, available units rent for between $3,154 to $9,811 per month. However, the most opulent units can rent for as much as $40,000 per month, based on data from Apartments.com
The Marlowe Apartments are located right next door to Ascent, at 1146 Harrison St. The community totals 181 units, which are a mix of studios, one- and two-bedrooms. Units range in size from about 500 to 1,100 square feet. Community features include a rooftop deck and barbecue, media room, fitness center and co-working space with private offices.
Combined, Blackstone paid about $702,000 per unit for the properties, a near-record for the Puget Sound and a strong indicator of the multifamily market’s future trajectory. Corey Marx and David Young, of JLL, brokered the sale.
The developments are located at the heart of South Lake Union, close to a number of Amazon offices, Facebook and University of Washington Medicine. A number of popular shops and restaurants, including Portage Bay Cafe, Sushi Katsu-ya and LOCAL are also nearby.
Blackstone is no stranger to the Puget Sound. At the end of last year, the private equity firm acquired five multifamily complexes in Kent, Renton, Lynnwood and Federal Way, paying $223.5 million for the assets. Blackstone purchased the properties from TruAmerica multifamily. According to the company’s website, Blackstone has $208 billion of investor capital under management, and the value of its global real estate portfolio is $378 billion.