Northmarq arranges $112 million construction loan for mixed-income apartment community in the Northern Rainier Valley

SEATTLE, WASHINGTON (January 19, 2023) — Jake Leibsohn, senior vice president/managing director and Ron Peterson, senior vice president/managing director of Northmarq’s Seattle-based regional debt/equity office, secured a $112 million construction loan for 900 Rainier. The 8-story, 396-unit mixed-income apartment property is located at 900 Rainier South in Seattle, Washington and will feature ground floor retail. Northmarq arranged financing for the borrower, O.Z. Navigator, LLC, through its relationship with Mack Real Estate Group.

The developer, Nitze-Stagen, broke ground on the property on January 9. It is part of the company’s multi-family portfolio that is focused on developing high-quality, transit-oriented, mixed-income rental housing.  The building will include 41 Mandatory Housing Affordability (MHA) and 81 Multi-Family Tax Exemption (MFTE) apartment units. Apartment rents will start as low as 40% of area medium income (AMI) with a mix of studio, one- bedroom and two-bedroom units.

“In spite of some fairly significant market disruptions, both borrower and lender worked diligently to bring this deal to fruition. Hats off to both parties for their commitment to making this deal happen,” said Peterson.

The 289,000 sq. ft. multifamily development site will share the same block with O.Z. Navigator’s other property at 1130 Rainier Avenue South. Once complete, the multifamily housing development will be within walking distance of the Link Light Rail’s Judkins Park Station and across the street from SDOT bus lines.

The development of 900 Rainier Avenue South will help meet Seattle’s tremendous need for affordable housing. The residential component of the project will be a mix of studio, one- bedroom and two-bedroom units offering resident courtyards, rooftop decks and easy access to the new Judkins Park Light Rail Station opening in 2023. The property also will feature 12.5’ high ceilings in loft units, high-end/durable finishes, and controlled access parking garage.