Lacey, WA (October 5, 2022) – Buchanan Mortgage Holdings, LLC (BMH), an affiliate of Buchanan Street Partners, L.P., provided a $39 million non-recourse construction loan to Harbor Custom Development, Inc. to complete the development of a 177-unit, garden-style multifamily community located in Lacey, Washington, a suburb of the Seattle/Tacoma MSA.
Upon completion the project will feature a mix of studio, 1 and 2 bedroom units with Class A quality finishes and above-average unit sizes compared to the existing competitive set. Over the past decade the Lacey submarket has exhibited positive supply-demand fundamentals. This trend is expected to continue given the combination of offering a reasonable price point compared to the nearby Seattle/Tacoma metro and proximity to demand drivers such as the state capital of Olympia, Joint-Base Lewis McCord military base, and a rapidly growing presence of big box industrial/warehouse facilities.
Harbor Custom Development, Inc. is a publicly-traded real estate developer headquartered in Tacoma with a long track record of developing homes sites, townhomes and multifamily projects throughout the Puget Sound region. Harbor anticipates leasing the community’s first phase beginning in February of 2023 and completing construction in June 2023.
“BMH is pleased to announce our partnership with Harbor Custom Development, Inc. on this multifamily development that combines our construction lending expertise with the sponsor’s innovative approach to real estate development,” said Scott Magoffin, Buchanan’s Head of Debt Originations.
ABOUT: Buchanan Street Partners is a real estate investment firm based in Newport Beach, California that focuses on investments in commercial, multifamily, and self-storage properties as well as providing loans as a direct lender. Having invested in over $7 billion of real estate assets in its 22-year history, Buchanan Street has an established track record in the commercial real estate industry. The company is comprised of a highly skilled team that has invested through multiple real estate cycles enabling them to identify opportunities and maximize value while prioritizing capital preservation.