Columbia Pacific Advisors arranged USD14.5m loan for Cubix Othello in Seattle
Columbia Pacific Advisors Bridge Lending, a platform within Columbia Pacific Advisors, has provided a USD14.5 million loan for Cubix Othello, a new modular micro-housing development in Seattle being developed by NexGen Housing Partners.
NexGen will use the funds to refinance existing construction debt and fund completion of the project located at 7339 43rd Avenue S. in South Seattle. The six-story, 85-unit apartment building will overlook Othello Park and feature a mix of studio and one-bedroom units.
“The growing need for affordable living options within Seattle’s younger age demographic continues to drive local demand for micro-housing,” says Will Nelson, Senior Vice President of Real Estate Lending at Columbia Pacific Advisors. “NexGen is a seasoned developer with a successful track record of completing comparable projects in the market.”
Cubix North Park, opened in 2018, was the first modular micro-apartment building constructed west of the Mississippi, according to the company, and won in the Multifamily category of the 2019 Modular Building Institute Awards, a first for a debut entrant. In total, NexGen has successfully completed five modular micro-housing properties in Seattle totalling 232 units.
“We are pleased to have a lending partner in Columbia Pacific Advisors, which recognises the ongoing strength of the micro-housing market in the city despite the effects of Covid-19, as well as Cubix Othello’s prime location in South Seattle,” says Daniel Stoner, CEO and Partner of NexGen Housing Partners.
South Seattle has undergone significant redevelopment over the last 10 years, with price sensitive renters seeking out affordable housing options in the area. Current vacancy is around five per cent, with few new construction projects available.