In the greater Seattle area, women-owned real estate development and investment platform MSquared has closed on a $54 million loan to develop Kōz on Alderwood. The new 200-unit transit-oriented, mixed-income project will be developed in partnership with Kōz Development, another women-led firm.
“This project is a great representation of MSquared’s approach to inclusive development—mixed-income housing, built in partnership with a woman-led developer, on a transit-oriented site and with sustainable design,” says Alicia Glen, founder and managing principal of MSquared. “Our goal is to do this kind of work in cities across the country, promoting a new paradigm for development—one that supports affordability, diversity, and sustainability.”
Adjacent to the future site of the Lynnwood Transit Center, Kōz on Alderwood will offer studio, one-, and two-bedroom units that are connected to Seattle’s job centers and the nearby bike and pedestrian Interurban Trail. Driven by sustainable design, the project is being built to Washington’s Built Green standard.
“We are delighted to announce our partnership with MSquared for this project, as our companies’ missions are impeccably aligned,” says Cathy Reines, president and CEO of Kōz Development. “Both of our organizations are dedicated to offering affordable, workforce housing, and we look forward to working together to achieve this goal.”
Half of the apartments will be affordable to households earning up to 80% of the area median income, and the other half will be market rate. Construction of Kōz on Alderwood is slated to begin this spring, with a completion date of early winter 2025.
The $54 million project is being financed by $35 million in debt from Coastal Community Bank, $13 million in equity from MSquared, and $6 million in equity from Kōz Development investors.
MSquared’s funds invest in mixed-use, mixed-income projects nationwide focusing on directing capital to women- and minority-owned development teams. Kōz on Alderwood aligned with that focus. MSquared recently surpassed $200 million in assets under management.
