By Jack Stubbs
Canada-based RISE Properties Trust has been active in the Puget Sound region in recent months, acquiring three apartment complexes for just over $180 million, which does not include a more recent transaction on October 8th when the company in partnership with Tokyu Land US Corporation acquired the 357-unit Alaire Apartments in Renton from Palo Alto, California-based Pacific Urban Residential for $97.5 million, or roughly $273,109 per unit.
Continuing this trend, the company has recently made another acquisition in Milton, WA, in Pierce County, expanding its Puget Sound region footprint. On Monday, October 15th—in a transaction that recorded on October 17th—the company acquired the 181-unit Copper Creek Apartments in Milton for $35.4 million, or roughly $195,580 per unit, Pierce County records show. The seller was The Apartment Associates of Pierce County LLC based in Tacoma.
The transaction is the second multifamily purchase this month for RISE and its 15th local acquisition, bringing the company’s acquired unit count in Seattle and the surrounding area to more than 2,000.
“We’re thrilled about our latest acquisition of this community, which was the result of favorable pricing, strong local multifamily fundamentals, and our positive outlook for the South Sound and regional economies,” said Beau Madsen, Investment Manager at RISE in a statement released by the company. “In addition, given that it was constructed in 2000, we are excited to execute on physical upgrades to the property to keep pace with changing renter preferences. This will help ensure the longevity of the community,” Madsen said.
The three-story Copper Creek Apartments, located at 102 5th Ave., was built in 2000 and contains 181 units, according to the property listing on apartments.com. The asset offers a mix of one-, two- and three-bedroom units that range from 725 to to 1,150 square feet and rent for between $1,255 and $1,725.
According to the web site for the property, some of the in-unit amenities available to residents include large closets, washer/dryer, private patios and energy efficient gas fireplaces.
Some of the community amenities available to residents at the Copper Creek Apartments include a business center, clubhouse, on-site maintenance and property management and spa/hot tub.
The web site emphasizes the central location of the property—which is two miles north of Milton, eight miles east of Tacoma and five miles south of Federal Way. The property is “a secluded community that offers [residents] the serenity of rural living while being just minutes from local shopping and freeways,” the web site states. Copper Creek is proximate to access to Washington State Route 161 and Interstate-5.
RISE Properties Trust, a real estate trust that focuses on the multifamily sector in the greater Seattle area, has been active in the wider Puget Sound region over the last few months.
On March 22nd 2018, the company acquired the the 239-unit West Ridge Park Apartments in the Delridge district of West Seattle sold for $72.45 million, or approximately $303,138 per unit, from Grosvenor Group. In late April, the company purchased the 241-unit Rainier Pointe Apartments in Fife for $39.5 million, or roughly $163,900 per unit. More recently in August 2018, RISE spent $69 million to acquire the 135-unit Modera Capitol Hill Apartments in Seattle.
In addition to Copper Creek, RISE now owns twelve multi-family properties throughout Seattle and the surrounding area, some of which include Artesia by the Lake in Everett, Bentley House in Issaquah and Starboard Apartments in Kirkland.
The Copper Creek Apartments property will be managed by Thrive Communities, a Seattle-based property management firm with approximately 10,000 apartments under management.