Torrance, CA-based Preservation Partners Management Group purchased another low-income housing development, Royal Hills Apartments in Renton, for $48.8 million or about $171,831 per unit in a deal that closed May 1st. According to King County public records, two LLCs associated with Preservation Partners Management were both the sellers and the buyers.
King County public records show $1,300,640 was deducted in personal property resulting in a taxable selling price of $47,499,360.
The apartment complex, located at 3000 Royal Hills Dr. SE in Renton, was built in 1969 and includes 284 low-income housing units across two stories. The development offers 44 one-bedrooms, 156 two-bedrooms, 68 three-bedrooms and 16 four-bedrooms. Sizes for the units range from 576 square feet for a one-bedroom unit to 1,152 square feet for a four-bedroom, two-bathroom unit. There’s also a community room, patios and balconies and a playground.
The apartments are currently covered under the Loan Management Set-Aside (LMSA) Program which means that to qualify, a family has to have a combined income of less than 50 percent of the area median income.
Preservation Partners Management has been buying and selling a number of Section 8 and low-income housing developments across the Puget Sound region. In April, Preservation Partners Management sold off another Section 8 housing development in Everett for $33.3 million or $133,200 per unit. And in February, the group purchased a Section 8 housing development, also in Everett, for $39 million or $193,000 per unit. That development is very low-income housing and operates under three government programs.
William E. Szymczak is the founding managing partner of Preservation Partners Development (PPD) and sits on the board of directors at the Institute for Responsible Housing Preservation, which is headquartered in Washington, D.C. According to a release from LINC Housing Corporation, a California nonprofit developer of affordable housing, Szymczak, through PPD, has acquired, rehabilitated and preserved more than 30 Section 8 housing projects with more than 3,000 units and about 10,000 very low income residents.