EXECUTIVE SUMMARY
1 FREMONT
DEVELOPMENT BY ALEX COHEN | COHEN PROPERTIES
SYNDICATION BY TROY GESSEL | AGM REAL ESTATE
OFFERING OVERVIEW
Cohen Properties (CP) in partnership with AGM Real Estate (AGM) is developing a new ground-up mixed-use building in the Fremont Neighborhood of Seattle WA. Cohen Properties has assembled 17,000 sqft and plans to construct an upscale apartment building with street level retail. This project will add to the already developing Fremont Village neighborhood by adding more rental tenants and highly sought after commercial space. This development offers a unique opportunity to participate in a generational investment in one of Seattle's most desirable neighborhoods. This is the second of CP's developments in Fremont. The Fremont Village Apartments, a 93-unit project, located across the street was delivered in early 2024.
BUILDING FACTS
Location
Fremont, Seattle, WA
Address
4401, 4015 & 4019 Fremont Ave N, Seattle WA 98103
Description
5-Story | 108 Units | 4,200 SQFT Retail Space | 41 Parking Stalls
Building SF | Rentable
52,445 SF
FINANCIAL OVERVIEW
Total Budget
$40.7 Million
Project Value at Stabilization
$49.5 Million
Unlevered Yield on Cost
6.36%
Levered Yield on Cost
5.96%
Annual Average Cash Flow | 5 Year
6.22%
IRR | 5 Year
15.29%
THE OFFERING
Securities Offered
Up to 170 Class A units in the Company
Price
$100,000 per Class A Unit offered (10 unit minimum)
Offering Amount
The maximum raise is $17M
Traunch 1
$5 M has been raised, prior to entitlement
Up to $12 M upon entitlement
Traunch 2
Preferred Return
6% on unreturned capital
Profit Share
70/30 after return of all capital and Preferred Returns
Investment Strategy
Long Term Hold & Value Creation
*Upon request, you may have access to all Offering Documents within the investor portal
THE
INVESTMENT
CASE
PRIME LOCATION
1-Fremont is strategically located in the Fremont Village section of the Fremont Neighborhood in Seattle. Fremont is a vibrant mix of arts and entertainment options and a significant tech employment hub. Fremont Village is a small, upscale commercial node, just a short six-block stroll up the hill from Downtown Fremont. 1 Fremont will add 108 new homes and 4,200 square feet of new retail space, capitalizing on Fremont Village’s growing identity as a unique and desirable place to live, eat and play.
BUILDING FOR THE NEXT CYCLE
The current rental market is a product of a 50-year record high in apartment deliveries nationwide and in Seattle. The forces that created that surge have now moderated leading to a significant reduction in the development pipeline. At the same time demand for housing in Seattle has remained consistently strong. In the next 12 – 18 months demand is expected to overtake supply. 1 Fremont will deliver much needed housing to this supply constrained market in 2027.
AIMED FOR LONG TERM SUCCESS
The average Fremont renter is young, affluent, lives alone and seeks entertainment and recreation in their free time. 1 Fremont will deliver high-quality design and finishes within efficient spaces. All units will have full kitchens, washers/dryers and abundant light. A roof deck will provide a 180-degree views over Lake Union.
STRONG RETAIL OPPORTUNITY
Retail demand is strong in Fremont Village with limited available space. The newest retail lease, across the street, achieved over $35 NNN.
PROVEN TRACK RECORD
Cohen Properties developed the 93-unit Fremont Village Apartments across the street from 1 Fremont. Fremont Village Apartments was delivered Q1 2024, leased quickly and exceeded its proforma rents.
Accessibility & Transit Oriented Covenience
1 Fremont benefits from excellent connectivity with easy transportation options to key employment centers in Fremont, South Lake Union, the CBD, Ballard, and the University of Washington.
SUSTAINABLE RETURNS & VALUES
Land in Fremont Village zoned for multifamily and commercial development is limited. That constraint will support continued strong demand and consistent rent growth. Rents in the neighborhood are among the City’s highest and have consistently grown even during downturns.
INSTITUTIONAL EXIT PLAN
1 Fremont, if packaged with its sister development, Fremont Village Apartments, presents a compelling opportunity for institutional investors. The combined offering of approximately 200 units in this prime location is exceedingly rare and would be expected to attract a premium offer from well-capitalized institutional buyers.
THE
INVESTMENT
CASE
Proof of
Concept
Cohen Properties delivered the Fremont Village Apartments across the street from the 1 Fremont site in early 2024. The project is fully occupied achieving better than proforma rents, serving as proof of concept for 1 Fremont.
FREMONT VILLAGE APARTMENTS
FREMONT VILLAGE APARTMENTS
1 FREMONT
PROFORMA
ACTUALS
PROFORMA
UNIT
TYPE
NO.
AVERAGE
UNIT SF
AVERAGE
RENT
AVERAGE
RENT / SF
NO.
AVERAGE
UNIT SF
AVERAGE
RENT
AVERAGE
RENT / SF
NO.
AVERAGE
UNIT SF
AVERAGE
RENT
AVERAGE
RENT / SF
STUDIO
ONE BED
TWO BED
THREE BED
TOTAL
42
299
$1,407.26
$4.71
43
430
$1,721.86
$4.04
8
630
$2,425.00
$3.85
n/a
n/a
n/a
n/a
93
378
$1,614.44
$4.37
42
300
$1,493.67
$4.99
43
433
$1,879.28
$4.34
8
623
$2,749.75
$4.41
n/a
n/a
n/a
n/a
93
389
$1,780.01
$4.64
50
344
$1,744.00
$5.08
50
480
$2,183.00
$4.55
3
748
$3,192.00
$4.27
5
940
$3,970.00
$4.23
108
446
$2,090.00
$4.77
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AVERAGE RENT / SF
