JPI and Stream to Launch 10-Story Residential Development Next Year
A parking lot located in Seattle’s Uptown district, previously owned by office landlord Martin Selig Real Estate, is set to be redeveloped into luxury apartments, reflecting changing real estate demand in the area.
National developer JPI, in partnership with Seattle-based Stream Real Estate, is planning to construct a 189-unit upscale residential building at 400 Fourth Ave. W.
The development partners acquired the site for $7.8 million, nearly half of its assessed value of $15.8 million, purchasing it from a court-appointed receiver representing Goldman Sachs, the former lender to Selig, according to county records.
This property is one of several parking lots that Selig transferred to receivership last year, as the company has struggled with financial challenges and declining demand for office space since the pandemic. Founded in 1958, the firm is also known for developing Columbia Center, Washington’s tallest skyscraper.
Seattle’s downtown office market is currently experiencing one of its most difficult periods in decades, with vacancy rates reaching a record 32% and rental prices continuing to fall. This slowdown has forced Selig and other property owners to sell assets through foreclosure.
In 2023, the long-established developer handed over management of notable properties, including the Federal Reserve Building and 400 Westlake near Amazon’s South Lake Union headquarters, to Urban Renaissance Group.
In a separate distressed transaction, MetLife Real Estate acquired the 25-story Westlake Tower from Unico Properties in January through a foreclosure process, at a significantly reduced price.
JPI and Stream have not yet finalized rental rates for the upcoming project, which they describe as a luxury high-rise. Unlike many recent downtown developments that focused on smaller units, approximately 25% of the apartments in this project will feature larger two- and three-bedroom layouts designed for families.
The sloped site, with a 40-foot elevation difference, will be designed by Seattle-based architect Weber Thompson. The building will integrate with the hillside, offering expansive views of Elliott Bay, downtown Seattle, and the nearby Space Needle.
Uptown, part of Seattle’s Queen Anne neighborhood, remains a highly active area for residential development. Over the past three years, developers have added around 1,200 new units, according to CoStar data. Despite this growth, the apartment vacancy rate in Queen Anne has slightly decreased to 7.4%, compared to the regional average of 7.1% across the Puget Sound area.
JPI’s Chief Financial and Investment Officer, Mollie Fadule, stated that the project will introduce new housing options, including family-sized units, in one of Seattle’s most dynamic neighborhoods.
Stream Managing Member Marc Angelillo added that the firm remains confident in Uptown’s appeal, highlighting its mix of retail, dining, and entertainment offerings.
Source: Original reporting by Randyl Drummer, CoStar News.
