Builders Land $58M for Seattle’s First Reasonably priced Excessive-Rise

Madison / Bolyston. Image courtesy Enterprise Housing Credit Investments

Plymouth Housing and Bellwether Housing have received $ 57.6 million in equity financing to build the Madison / Boylston development, an affordable, multi-generational housing development of 365 units in downtown Seattle. Enterprise Housing Credit Investments secured funding through Bank of America for the largest single low-income residential tax credit deal in the company’s history. The development team, which also includes Turner Construction Co. and Weber Thompson Architecture, laid the foundation stone for the project in October. Delivery is planned for 2022.

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The 17-story building, set to become the city’s first affordable skyscraper, will be located at 1400 Madison Street with a second entrance on Boylston Ave. 1014 in the First Hill district. Sound Transit transferred the property – originally intended as a First Hill Light Rail Station – to the developers in 2018. Weber Thompson designed the project plans to meet Washington State’s evergreen standards, taking into account an enterprise community partner funded study of energy efficiency and system performance.

Two developers, one building

Plymouth will develop floors two through five to house 115 studio apartments reserved for homeless seniors earning at least 30 percent of the region’s median income. Support services offered include individual case management, daily life support, encouraging social engagement and outings, and coordinating psychiatric care when needed. Plymouth will benefit from an operating grant from the City of Seattle and King County.

Bellwether will build Rise on Madison on top of the Boylston development. Floors six through 17 contain 250 apartments for workers and family households who earn up to 60 percent of the AMI. The mix of units will include studios and floor plans with one to three bedrooms. Resident Services will address disability, mental health, finance, employment and health issues.

The development site is less than a mile from the city center, close to several hospitals and health care providers such as the Swedish Hospital and Virginia Mason Hospital. The location is also less than 2 miles from a partially affordable 288-unit community that traded for $ 125 million in September.

Mixed funding sources

The Madison / Boylston development draws on a variety of public and private funding sources. Funding from the Housing Credits program will form a “twinning” financing package where Boylston will receive a 9 percent credit allocation and Rise on Madison will be eligible for 4 percent tax-free bond financing.

In addition to the equity investment, Bank of America is providing developers with two construction loans totaling $ 83 million, with $ 67 million for Rise on Madison and $ 16 million for Boylston development. In addition, the City of Seattle, King County, Washington State and Sound Transit are jointly providing soft funding of $ 37 million for both projects.