By Jon Peterson
Charlestown, S.C.-based Greystar has bought its first apartment property ever in the Kirkland market with the acquisition of the 496-unit Resort at Forbes Creek located at 11110 Forbes Creek Drive. The sales price was $128 million, according to sources familiar with the transaction.
“This property is the only Greystar-owned asset in the Kirkland market,” stated Cliff Chandler, managing director of investments for Greystar in an email. He works out of the company’s regional office in Irvine, Calif., according to the company’s Web site. He declined to confirm the purchase price on the property.
The area is difficult to develop new product in the submarket, with almost no developable land and thus has high barriers to entry.
The apartment complex was acquired from an un-named seller. The listing agent on the sale of the property was the San Francisco-office of Eastdil Secured.
Since Greystar has acquired the property it has decided to re-name the complex. The new name of the complex will now be Avana at Forbes Creek. “This community was built in 1988 and has been exceptionally well maintained, with best-in-class common areas and unit amenity offerings,” wrote Chandler in an e-mail.
They are many features that Greystar likes about the property it acquired and the overall market of Kirkland. “Avana at Forbes Creek is a truly irreplaceable community situated on 60 acres in the highly coveted submarket of Kirkland. Kirkland is an affluent city with high household incomes and home values that provides convenient access to all of Seattle’s commercial centers, including downtown Bellevue, Redmond, Seattle and Everett. The submarket appeals to residents since it offers a number of employment options, support services, outstanding public transportation, a strong public school system and a high standard of living. The area is difficult to develop new product in the submarket, with almost no developable land and thus has high barriers to entry,” stated Chandler in an e-mail.
Greystar does have a solid presence in the overall Seattle market through acquisition, development and management relationships. The real estate firm owns five existing assets in the region including Avana at Forbes Creek totaling 1,875 units. It’s now underway with three development projects comprising another 959 units. Greystar managers around 25,000 units in the region across 140 properties.
Greystar is a strong believer in the overall Seattle apartment market. “Seattle has experienced rapid growth of the region’s population and economy over the past several years and continues to post strong job numbers. The region boats a skilled workforce, a lack of state income tax, a rapidly increasing young adult population and a high quality of life, all resulting in favorable apartment demand drivers,” wrote Chandler in an e-mail.
The uptick in growth of technology firms in the Seattle area has been a boost for the region. “The increased concentration of technology firms in the region continues to benefit the apartment market as Millennials tend to favor renting over owning housing,” stated Chandler in an e-mail.