Home Finance TruAmerica Buys Everett’s Walden Pond Apartments for $67.7MM

TruAmerica Buys Everett’s Walden Pond Apartments for $67.7MM

By Vladimir Bosanac

In another end-of-year transaction, the Los Angeles-based TruAmerica added an Everett apartment complex to its portfolio for $67.7 million, or $214,240 per unit, according to public documents. The seller was Holland Partner Group, which had been the owner of the property for a while. In 2015, Holland sold it from one of its entities to another, likely as a result of bringing in an equity partner, for $46.5 million, or $147,151 per unit.

The Walden Pond Apartment community in Everett is located at 9900 12th Ave W. It features a mix of one-, two- and three-bedroom units. According to apartments.com, the complex is comprised of 316 units, which were constructed in 1991. The apartments feature high-end amenities, like washers and dryers, a fireplace, walk-in closets and double vanities. The complex itself features a business center, a clubhouse, a lounge, an indoor basketball court and a tanning salon.

One-bedroom units go for $1,057 – $1,385, two-bedrooms for $1,294 – $1,805 and three-bedrooms for $1,560 – $2,171, according to the apartments.com site.

As challenges for housing in the greater Puget Sound area continue to be more acute, areas once considered on the fringe of the region are gaining more interest from investors as occupancy and rental rates increase. Everett has seen a number of recent apartment trades in the last year or so. San Francisco-based Jackson Square Properties sold the Arterra Apartments located at 711 West Casino Road, for $18.4 million, or $153,333 per unit, in July of this year. A month earlier, San Francisco-based FPA Multifamily sold Stinson Apartment Homes, formerly Mariner Court Apartments for $16.8 million or $180,645 per unit, and in February of 2017, Williams Investments sold their Candlewood Apartments in Everett for $14.2 million or $94,040 per unit.

As a result, the city of Everett has seen some redevelopment activity, as well, which is promising to revitalize the industrial city. In October of 2016, the Port of Everett began construction on phase one of its $350 million project to redevelop its 65-acre North Marina property, Waterfront Place. Upon completion, the project will entail a new wharf, 254 residential units and a 140-room hotel.

In total, it will offer over 300,000 square feet of retail, office, restaurant and hotel spaces. There will also be a formal park and a splash plaza, featuring monuments and foreign flags that tell the port’s international commerce story, will be the central gathering place of the project. An esplanade will provide entertainment with its radio-controlled boats and dingy track. It is expected to be completed by early 2019.

Founded in 2000, Holland Residential, and its parent company Holland Partner Group, creates and manages luxury apartment communities in key U.S. markets, according to the company’s web site. The property provides a wide array of management services to its residents including on-site personnel and human resources services. The company operates apartment communities in Arizona, California, Colorado, Oregon and Washington.

TruAmerica was founded in 2013 as a partnership between industry veteran Robert E. Hart and The Guardian Life Insurance Company of America. The company focuses on repositioning Class B properties as a main value proposition for its investors, according the company’s web site.

Since its founding, TruAmerica has acquired 83 properties and has 141 assets under management.