Handel2205 3rd Ave N Seattle, WA 98109
METER recognized this gem in the summer of 2011. As it seemed too good to be true, we approached it cautiously. But after vetting it, we moved quickly.
The existing Handel was renovated with new fully upgraded interiors. We were able to increase the unit count from 20 to 23 as we converted 3 laundry rooms to micro studios. Not only did we increase rents from the new units, we were able to double rents at the property.
We saw an opportunity to convert Handel’s parking lot into a new property at 30 units. On that land we designed and built the ultra-modern 30 unit Pladhus.
Pladhus rented out quickly to 100% occupancy, increasing revenue on that land from $0 to $30,000 per month.
The Pladhus-Handel project helped define METER by compiling and pressing the types of challenges and opportunities specific to the changing Seattle market.
Purchase Date August 5, 2011
Sale Date of Building March 26, 2015
Purchase Price $2,100,000
Cap X Into Rehab $976,066
Cap X into Build Micros $1,931,498
Total Cost $5,007,704
Sale Price $9,200,000
Total Gross Profit $4,192,296
Total Net Operating Income $479,260
Performance Cap Rate at Sale 9.57%