Ascentris Commits to a Fourth Micro-Unit Apartment Investment; Partners with Kōz Development on Derby Capitol Hill Located in Seattle, WA
Denver, CO (July 1, 2019) – Ascentris, a Denver-based real estate private equity firm, announced today the acquisition of a two-acre site near the corner of Bellevue Avenue and East Denny Way in Seattle’s Capitol Hill submarket. Together, Ascentris and Kōz Development will develop Derby Capitol Hill, a seven-story building consisting of 151 micro-unit apartments. Scheduled to break ground in summer 2020 with a completion date in 2022, the property is ideally located within a short walk to Capitol Hill’s popular restaurants, bars, and shopping and to Seattle’s robust employment centers in the South Lake Union and Downtown submarkets.
Derby Capitol Hill represents Ascentris’ fourth micro-unit investment. Due to rapidly increasing rents and moderate wage growth, Ascentris began targeting micro-unit apartment investments in 2012. Since that time, it has invested in Derby South Lake Union, also located in Seattle, WA, Derby Slabtown located in Portland, OR and Derby Roosevelt Row located in Phoenix, AZ. When combined, the four properties represent nearly 550 micro-unit apartments and over $135M in total property value.
“We are very excited to continue investing in this strategy and furthering the Derby brand. Similar to all of our Derby investments, the strength of Derby Capitol Hill’s location will enable it to attract a wide variety of tenants who seek newer, high-finish living at a significant rent discount to their alternatives,” noted Ascentris Vice President Denis Curran. “Located in highly walkable locations, Derby communities offer residents fully furnished apartments with amenities such as rooftop decks, grilling stations, co-working spaces, lounges with free WiFi and bike parking inviting them to actively participate in the exciting communities around them.” added Curran.
“Derby Capitol Hill will deliver an exciting urban experience that we believe will address the increasingly sophisticated demands of the Seattle market where over 40,000 households are spending more than 50% of their income on rent. We are excited to partner again with Ascentris on this innovative product type and continue to expand our micro-housing footprint in the Pacific Northwest,” said Cathy Reines, Founder of Kōz Development.
About Ascentris
Ascentris is a real estate private equity firm based in Denver, Colorado. With over $1.3 billion in assets under management, Ascentris manages a series of fully discretionary institutional vehicles targeting core, value-add and opportunistic investments across all the major property types and geographic regions within the United States. Since 2003, Ascentris’ management team has relied on an investment philosophy and organizational structure that results in its investors getting to opportunities ahead of the market while receiving an unmatched level of service, transparency and accountability. Ascentris is a privately held and management-owned SEC registered investment adviser that maintains an unwavering commitment to put its investors’ needs first. Additional information is available at www.ascentris.com.
About Kōz Development
Kōz Development is a Washington-based apartment developer and operator who designs, develops and constructs housing in urban infill locations and student housing for universities in select markets across the United States. With 1,600 units in their current portfolio, their investment strategy is to provide affordable urban living to students and employees by constructing cost-effective housing options in high-quality buildings in close proximity to residents’ work or school, neighborhood amenities and public transit requiring little to no dependence on automobiles for transportation. For more information, visit www.kozdevelopment.com.