CBRE National Senior Housing arranged financing on behalf of a joint venture between Artemis Real Estate Partners, MorningStar Senior Living and American Capital Group to refinance an independent living community in Kirkland, Washington. Set on 3.56 acres, the community recently opened in February 2022 with 152 IL units and is the first independent living asset built in the high-barrier-to-entry, affluent Kirkland market in the last 13 years.
Before it opened, the project (plus another in-progress, 141-unit development in Hillsboro, Oregon) was acquired in January 2021 by the joint venture. It is situated next to the 409-unit multifamily development called Lifebridge Kirkland Apartments, which Artemis and American Capital Group also acquired in 2020 from construction technology company Katerra for $56.7 million.
Evergreen Health Medical Center Kirkland, a 318-bed general hospital, is located a half-mile away, and the community is in the Village at Totem Lake East, a regional lifestyle center which includes a Whole Foods, a Trader Joe’s, a movie theater, and a variety of restaurants and retail outlets, is even closer to the community. MorningStar will operate the community going forward.
To take out construction debt at the community, Aron Will, Austin Sacco and Tim Root of CBRE National Senior Housing arranged a $40 million loan through a national bank. The non-recourse loan came with a floating rate and a full term of interest-only payments.
