Security Properties and a Rockwood Capital affiliate have closed the $141.1 million acquisition of a new Kent apartment complex, Midtown 64.
Seattle-based Goodman Real Estate developed the 365-unit, 10-acre project at 24615 64th Ave. S., along city’s revamped pedestrian-friendly Meeker Street corridor between the Green River and downtown.
Security Properties Senior Director Davis Vaughn said in a press release the acquisition was an opportunity to buy “one of the top assets in the growing submarket of Kent which has had extremely limited supply delivered the past few decades.”
Asking rents range from $1,650 for a 653-square-foot studio to $2,550 for a two-bedroom measuring 988 square feet. This is according to the website of the property, which is offering six weeks’ free rent.
David Sorensen, a Berkadia senior director who worked on the deal, said the sale underscores the significant demographic shifts occurring in Kent and the rest of South King County.
“Many renters are gravitating toward high-quality suburban properties with amenities that, historically, they had seen only in downtown areas,” said Sorensen.
He and colleagues Kenny Dudunakis, Ben Johnson and George Pallis represented both the buyer and seller in the off-market deal. The price works out to $386,575 per unit.
Developers and renters are attracted to South King County by lower cost. In downtown Bellevue, a luxury apartment sold in September for $719,649 a unit, the regional record.
Designed by Studio Meng Strazzara of Seattle, Midtown 64 units have 9-foot ceilings, quartz countertops and either a private deck or patio. There’s a clubhouse, fitness center and rooftop deck and other amenities.
The property is near the 250,000-job Kent Valley employment center and a five-minute drive from the downtown commuter rail stop at Kent Station, which is also the name of the open-air shopping center across the street.
This summer, the center was 91% occupied. That was the highest in the property’s 15-year history, according to the developer-owner Tarragon. The Seattle company said sales revenue matched pre-pandemic levels.