|
1/31/25
|
Pathfinder Partners has purchased Cedardale, a 126-unit multifamily community in Federal Way, WA, a suburban neighborhood located between Seattle, Tacoma and the Kent Valley. The property, located at 2501 SW 336th St, sold for $31.1 mil ($246.8k/unit).
Cedardale was originally built in two phases from 1981 to 1983 as condominiums, but no units were sold. Now operated as a rental community, the property features mature, lush landscaping – with units featuring wood-burning fireplaces, washer/dryers, dishwashers, stainless steel appliances and private decks or patios.
Community amenities include a central clubhouse with a coffee bar and complimentary Wi-Fi, a covered picnic area with BBQs, playground, fenced dog park, sport court with basketball and bocce ball and car vacuum station. Units encompass a mix of 64 one-bedroom/one-bathroom units, 16 two-bedroom/one-bathroom units and 46 two-bedroom/one and one half-bathroom units ranging from 608 sf to 905 sf.
According to Mitch Siegler, co-founder and managing director of Pathfinder, a San Diego-based private equity firm specializing in multifamily real estate investments, Cedardale marks Pathfinder’s 14th acquisition in Washington and its second acquisition within Pathfinder Multifamily Opportunity Fund IX, LP (“Fund”) – which is focused on opportunistic acquisitions of suburban, value-add multifamily real estate in markets where Pathfinder has significant experience. These markets include Denver, Phoenix, San Diego/Southern California, Sacramento and Seattle.
“Pathfinder’s Fund IX acquired Cedardale at an attractive cost basis of $247,000/unit with future upside through our value-add business plan. We believe the purchase price is 15-20% lower than peak pricing and 30-35% lower than replacement cost, and we plan to add significant value by modernizing the apartments.” Siegler said. “Seattle’s economy continues to be strong, propelled by the technology, aerospace, healthcare and life science sectors, and Cedardale’s location is known for its strong rental market and ease of accessibility throughout Seattle’s employment centers.”
|
|
Return to the previous page
|
|
|
|
|