Home Finance Seattle Housing Authority Acquires the 69-Unit Spring Lake Apartments in North Seattle...

Seattle Housing Authority Acquires the 69-Unit Spring Lake Apartments in North Seattle for $15MM

By Jack Stubbs

As part of its mission to increase the inventory of affordable housing in Seattle, the Seattle Housing Authority (SHA) recently purchased a property in North Seattle.

In a recently-recorded sale, on November 9th, the Spring Lake Apartments in North Seattle sold for $15 million, or approximately $217,391 per unit, according to King County records. The sellers involved in the transaction included Hemmat Family LLC, HSW Investments LLC and Sobel Properties LLC. The transaction was recorded on November 29th.

Timothy Ufkes and Rich Day out of Marcus & Millichap’s Seattle office represented the buyer and the seller in the transaction.

According to a representative from SHA, the recent purchase of the Spring Lake Apartments is aligned with the organization’s mission of providing more affordable housing in the city of Seattle.

“The purchase of the Spring Lake Apartments is part of a larger Seattle Housing Authority acquisition strategy to increase the inventory of affordable housing in Seattle,” said Kerry Coughlin, director of communications at SHA. “We do not plan to make any short-term changes as a result of our purchase other than some upgrades and repairs. None of the existing tenants will be affected as a result of the sale. Over time, as vacancies naturally occur, we will convert units to income-restricted units for residents at 80 percent or less of area median income,” Coughlin added.

The three-story Spring Lake Apartments, located at 12530 35th Ave. NE in the Lake City area of North Seattle, was built in 1986 and contains 69 units, according to the property listing on apartments.com. The property offers a mix of studio, one- and two-bedroom units that range from 480 to 800 square feet. The asset offers on-site maintenance, property management and controlled access.

The Spring Lake Apartments is approximately 10 miles south of downtown Seattle and four miles north of Greenlake. The property is also roughly two miles northeast of the city’s Northgate neighborhood, which in recent weeks received further news about a new project set to shape the area. Simon Property Group is looking to transform the 55-acre site around Northgate Mall, an aging retail destination—which originally opened in 1950—that is soon set to become one of the region’s most vibrant new neighborhoods.

On November 9th, the project owners received approval from the city at a second Early Design Guidance meeting to advance the revised plans for the redevelopment that now include an ice hockey center, offices for NHL Seattle, the team ownership, and a second hotel.

The new ice center is planned to add a total of 262,000 square feet of space that would include a 20,000 square foot training center, 120,000 square feet of office space, roughly 12,000 square feet of retail space and 110,000 square feet of sports and recreation space. In addition to the ice center, over 1.3 million square feet of mixed-use office, retail and parking space is proposed on the site with over 1,000 housing units in four mixed-use residential towers and two hotels totaling 372 rooms.

On November 13th, another seven-story, 235-unit development,  located at 10700 5th Ave. NE in Northgate, received approval from the Northeast Design Review Board. The project, designed by Seattle-based Grouparchitect, also includes 4,698 square feet of ground floor retail along Fifth Ave. and 230 parking spaces.

The mission of the Seattle Housing Authority (SHA) is to enhance the Seattle community by creating and sustaining decent, safe and affordable living environments that foster stability and self-sufficiency for people with low incomes, according to the organization’s web site. SHA provides long-term, low income rental housing and rental assistance to approximately 34,000 people—representing more than 17,000 households—in the city of Seattle. SHA also owns and operates more than 8,000 apartments and single-family homes at nearly 400 sites throughout the city.