Growing West Coast platform will total nearly 10,000 affordable units for seniors and families by 2022
BEVERLY HILLS, Calif. – Global real estate investment company Kennedy Wilson (NYSE: KW) is increasing the availability of affordable multifamily units reserved for families and seniors across the West Coast through a growing partnership with Vintage Housing Holdings (“Vintage”). Today, the joint venture announced three new ground-up development projects have launched in Washington – The Station (Covington), Quinn (Shoreline) and Pointe (Des Moines) – that will add 585 affordable homes and a total of 1,965 homes to the platform that will reach approximately 10,000 completed units by 2022.
Construction on The Station, Quinn and Pointe is expected to begin this month, with all three projects currently expected to complete construction in 2022. Additionally, the joint venture secured a new, 18-year loan at 2.9% to fund the development and operation of the three new projects.
“We are pleased to continue building on Kennedy Wilson’s long-term partnership with Vintage that brings together our respective strengths to expand the supply of high-quality affordable housing across the West Coast,” said Kurt Zech, President of Kennedy Wilson’s multifamily group. “The Vintage platform complements our growing market rate portfolio and provides a pathway for our team to act on opportunities across every segment of the multifamily sector, with a focus on delivering the quality finishes, amenities and resident experiences we are known for at Kennedy Wilson.”
“Kennedy Wilson’s support has enabled us to significantly upscale our program and set out a long-term strategy to help improve housing options for seniors and working families across the U.S. By leveraging their strong housing platform and market access, we have been able to seize new opportunities and expand our reach,” said Ryan Patterson, President of Vintage.
Plans for the three new communities exemplify the quality of the development pipeline that includes 1,965 generously sized units offering high-quality, energy-efficient homes with abundant community amenities for working families and seniors earning between 50-60% of the area median income. 578 total units are expected to come online this year at Seatac in SeaTac and The View in Bonney Lake, as well as 354 units at The Farm in Mill Creek before the end of 2021.
Kennedy Wilson originally invested in Vintage Housing’s 5,400-unit portfolio in 2015 and has since nearly doubled the number of affordable homes in Washington, California and Nevada and recouped all of the initial investment. The team relies on affordable housing tax credits and other state and federal financing resources to grow the portfolio with minimal equity. The portfolio has shown resilience throughout 2020, with an average 99% of rents collected during the second quarter of 2020.
About Kennedy Wilson
Kennedy Wilson (NYSE:KW) is a global real estate investment company. We own, operate, and invest in real estate both on our own and through our investment management platform. We focus on multifamily and office properties located in the Western U.S., UK, and Ireland. For further information on Kennedy Wilson, please visit: www.kennedywilson.com
About Vintage Housing
Vintage Housing, along with partner Kennedy Wilson, specializes in the development and operation of affordable housing. Through affordable housing tax credits and other state and federal financing resources, Vintage Housing offers attractive apartment homes to income-qualified families and active seniors. Today, the portfolio includes more than 9,000 homes across 45 apartment communities throughout the Western United States. For more information, visit: www.vintagehousing.com.