Capitol Hill Development Opportunity N

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Capitol Hill Development Opportunity N OFFERING MEMORANDUM Capitol Hill Development Opportunity First Hill Seattle CBD SEATTLE STREETCAR LINE CAL ANDERSON PARK Broadway E Capitol Hill CAPITOL HILL LINK LIGHT RAIL STATION E Mercer Street 14th Avenue E N 1. Offering Summary • Executive Highlights • Investment Overview 2. Location Overview 3. Property Maps & Aerials 4. Community Description 5. Unit Mix & Floor Plans All renderings property of b9 Architects 01 Offering Summary Executive Highlights Investment Overview Offering Summary EXECUTIVE HIGHLIGHTS 20-unit development site in North Capitol Hill Spacious one-bedroom homes Building amenities include a central courtyard, backyard green space, and rooftop deck Designed to achieve 4-Star Built Green certification Located in Capitol Hill’s identified Urban Center Village, adjacent to prestigious Harvard Belmont historic mansion district High barrier-to-entry location: challenging neighborhood review board Within blocks of Capitol Hill’s Link Light Rail Station Walking distance to Seattle CBD, Fortune 500 companies, restaurants, boutiques, grocery stores, coffee shops, bars, and music venues Five blocks from popular Broadway Avenue shops, dining, and entertainment Three blocks south of 48-acre Volunteer Park and Asian Art Museum 89 $131,932 3.8% WALK EST AVG HOUSEHOLD SUBMARKET SCORE INCOME BY 2022 VACANCY RATE 614 13th Ave E Development Site 7 DEVELOPMENT HIGHLIGHTS 6,000 square foot site zoned LR3 40 foot height limit in Capitol Hill Urban Center Village Building permits expected by Q2 2018 Master Use Permit in-place 100% of construction drawings complete Thoughtfully designed exterior compliments neighborhood by blending old with new: brick façade and steel panels Amenities include rooftop deck, central courtyard maximizing natural light, and bike parking Contemporary entry off 13th Avenue East Front porch with planters and bench seating Centrally located elevator and stairwell One-bedroom homes Efficient floorplans averaging ±614 square feet Built Green 4-Star Certification: allows for water, energy, and materials efficiency; 33% more energy efficient Private balconies or Juliets for each home 20 bicycle parking stalls 8 614 13th Ave E Development Site INVESTMENT OVERVIEW This 20-unit development opportunity is located in Seattle’s most coveted neighborhood, Capitol Hill. Situated between the trendy Pike / Pine Corridor and the prestigious Harvard Belmont Landmark District, Capitol Hill is one of the oldest and most desired neighborhoods in Washington State. Known for its lively nightlife, trendy eateries, and boutique shops, Capitol Hill is a hub for everything that is exciting about Seattle. Residents are within walking distance to the Central Business District, South Lake Union, First Hill, and future Yesler Terrace employment hubs. Additionally, mass transit options within half a mile of the development site are Property Overview unparalleled. The Seattle Streetcar, Link Light Rail, Metro buses, and bike sharing programs offer convenient access to adjacent neighborhoods, regional, and interstate destinations. 614 13th Avenue E Address Seattle, WA 98102 Parcel Number 685170-0040 Transit-Oriented Development Zoning LR3 614 13th Avenue East is located less than one mile from the new Capitol Hill Light Rail station and Number of Units 20 future Broadway and Pike Streetcar stop, lending itself to an ideal Transit-Oriented Development (T.O.D.) opportunity. T.O.D. sites appeal to Seattle and Capitol Hill demographics. Residential NRSF ±12,536 Site Area 6,000 SF (0.14 acres) The newest Light Rail stations opened in 2016 at the University of Washington and Capitol Hill. Bike Parking 20 stalls These new stations have shifted the way thousands of people in the Seattle area commute. Sound Transit estimates ridership has jumped roughly 50% in the past four years, to about Permit Status Building Permits In-Process 65,000 weekday commuters, with UW and Capitol Hill stations accounting for roughly one-fourth of daily average totals. By 2022, Sound Transit estimates that an average of 129,100 people will use Link Light Rail each weekday; nearly doubling the current daily average. Benefits of Transit-Oriented Development Reduce dependence 57% on driving 46% Allow residents to live, work, and play in the same area Reduce the area’s carbon footprint or 44% negative impact on the environment 43% Provide access to better life services 43% Stimulate the local economy Provide better access between urban 42% and suburban areas 39% Provide access to better entertainment or recreational services 37% Provide access to better jobs Revitalize urban areas 30% ©2016 HNTB Companies TRANSIT-ORIENTED DEVELOPMENT Building Features (T.O.D.) The site plans for 614 13th Avenue East are comprised of 20 homes with a mix of studio and one-bedroom homes with floorplans averaging ±614 square feet. The building is made up of six T.O.D. projects appeal to single and two-person households: floors with one sublevel and five above ground floors. The building is served by a central Capitol Hill demographic elevator and stairwell. T.O.D. projects experience higher rent growth, outpacing the Common area amenities include a central outdoor courtyard which allows for the maximum national average 2.3 to 1 amount of natural light to access the homes, a rooftop deck, and a backyard green space. 20 bike stalls are available for residents’ use on the bottom floor. 60% of all new construction projects nationally are T.O.D. Residents save an estimated $4,000 to $5,000 per year Built Green Certification in expenses living in T.O.D. buildings Current building plans have been drawn to achieve a 4-Star Built Green certification for the Vehicle miles traveled are down 25% nationally since 2001 building. Built Green is the second-largest residential building program in the country, created with 16 to 34-year-olds relying more on mass transit as a partnership of the Master Builders Association of King and Snohomish Counties to set standards of excellence that can make a significant impact on housing, health, and the Link Light Rail ridership is up 15% from the previous year environment. The program certifies green homes and communities with a tiered rating system and holistic checklist. Link Light Rail connects Washington State’s three most densely populated neighborhoods: Downtown, Capitol Hill, U-District Built Green homes provides their residents with comfortable, durable, and environmentally- friendly homes that are cost-effective to own and operate. Built Green construction is crafted to Light Rail connects to Amtrak and Sounder trains, with direct exceed building codes and provide owners and renters with years of healthy, quality living, while access to SeaTac Airport, Portland, and Vancouver B.C. promoting sustainable communities and protecting the environment. Seattle Streetcar serving South Lake Union and First Hill, Seattle residents are known to be environmentally conscious; in fact, an environmental report with future connectivity through Downtown Seattle and along released by the City of Seattle in April 2017 shows that city residents have worked to decrease Broadway in Capitol Hill Downtown Seattle bikeshare programs have over 1,000 bicycles All modes of public transit have increased ridership of 7% from the previous year Sources: CoStar, TOD Index, Central Puget Sound Transit Council, Zillow.com, NCSL, GeekWire 10 614 13th Ave E Development Site their energy usage in homes by 8% since 2008. The report also found that 23% less waste has been sent to landfills since 2008, and 60% of that waste is recycled or composted. These initiatives matter to Seattle with residents seeking out environmentally conscience rentals. A Built Green 4-Star energy rating appeals to the Seattle resident demographic as another way to Street Mercer E reduce their ecological footprint and lower energy bills without sacrificing modern amenities and location. Investment Strategy & Target Demographic 13th Avenue E Capitol Hill has been experiencing an influx of successful development of private and public projects including trendy new restaurants, boutiques, breweries, nightlife and coffee shops, and transit amenities which continue to enhance the area and improve property values. The development’s location presents the opportunity in one of Seattle’s elite neighborhoods. The neighborhood in which 614 13th Avenue East is located continues to be a high barrier-to- entry location which appeals to an affluent and stable resident demographic. With Seattle home sales at record highs, Capitol Hill home values average $630,400 according to Zillow.com and are estimated to increase another 6.2% within the next year. The adjacent Harvard Belmont Landmark District is home to some of the most expensive houses in the Pacific Northwest, with price tags up to $10 million. The location of this 20-unit site is well positioned to appeal to young professionals seeking modern and efficient well-designed spaces within walking distance to shopping, dining, and entertainment. The area appeals to residents who work for companies such as Amazon, The Gates Foundation, Microsoft, and Nordstrom with industries ranging from biotechnology, finance, and medical. The neighborhood’s close proximity to the downtown core, Light Rail Station, and future Seattle Streetcar stop will continue to draw residents to the neighborhood for years to come. 15th Avenue E Proposed Unit Mix UNIT LOCATION # OF UNITS Lower Level 2 First Level 4 Second Level 4 Third Level 4 Fourth Level 4 Fifth Level 2 TOTAL 20 614 13th Ave E Development Site 11 50-Yard Line Location
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