By Meghan Hall
San Mateo, Calif.-based G.W. Williams Company is expanding its holdings in the Puget Sound, snapping up Redmond’s Delano Apartments. In a transaction that closed at the end of July, the privately-held investment firm purchased the asset for $51.5 million, or about $408,000 per unit. The seller Essex Property Group, according to public property documents.
“The G.W. Williams Company…[was] actively looking to find additional opportunities,” explained Matthew Balkman, of Turning Point Realty Advisors LLC. “This was a property that was in a market they wanted to be in.”
Turning Point Realty represented G.W. Williams Co. throughout the transaction process and has worked with the firm on its other acquisitions in the area, as well.
Located at 7805 170th Place NE, the complex features 126 studio-, one- and two-bedroom units. The asset was originally constructed in 2005. According to Apartments.com, the units range in size from about 560 square feet to 1,316 square feet, with rents starting at about $1,611 per month. Residences also come equipped with granite counter tops, stainless steel appliances, and a patio or balcony.
Community amenities include a fitness center, barbecue area, outdoor dining and rooftop terrace. The community is also dog friendly, and its location in downtown Redmond means the property is walkable to Anderson and Bear Creek Parks, as well as Redmond Town Center. Numerous retailers including Ross Dress for Less, Safeway and Panera are also close to the complex.
“This is just on the other side of downtown Redmond,” said Balkman. “The walkable element was attractive…It has a downtown element but it also has a suburban element. You have the best of both worlds.”
The acquisition was not G.W. Williams’ first in the Puget Sound; in July of 2015, when it purchased another Redmond apartment complex in an off-market transaction. At the time, G.W. Williams bought the Peloton Apartments from Grosvenor Americas for $43 million, which Grosvenor originally purchased in 2007 for $28.9 million.
According to a recent report released by Colliers International at the end of the second quarter, the Puget Sound multifamily market is weathering the current market correction fairly well. While the Puget Sound saw a 20 basis point reduction in occupancy, rents continued to grow in every county and across all asset class types. Investment sales, however, did decline significantly, with sales volume declining 367 percent year-over-year.
