San Diego's Presidio Residential Capital says it is investing $7.4 million for create 428 single family lots in two developments near Puyallup.
Along with an additional sum from local investors who didn't want to be named, Presidio has purchased land and is doing engineering and preliminary infrastructure work to create developable lots. Those lots will be sold to builders who will construct homes on those sites, said Presidio.
The larger of the two developments is Summerwood Park, an $11 million, 106-acre project that is expected to become available for building in January.
The community is located at 136thStreet East and 62nd Avenue East. It will include 358 single-family lots, a gazebo, a basketball court, a playground and walking paths.
The second project is an extension of Red Hawk, a development at 160thStreet East and 78thAvenue East. The addition to that development will include 70 more lots.
Presidio said its decision to invest was driven by an optimism about the future of single-family developments in Washington.
"Projects of this size are relatively rare in this market, said Presidio Principal Don Faye, a 30-year veteran of real estate, finance, asset management and project partnerships. Were excited about Summerwood because it will provide a real neighborhood feel. It will be a great place to go for a walk, connect with friends and neighbors or take the kids to the park.
The two near-Puyallup developments are among 23 real estate projects nationwide that the company has funded in the first half of 2013. The real estate firm, which has provided more than $250 million in joint-venture equity and loans to residential home builders since 2009, has committed an additional $40 million to pending entitlement deals.
We see the next two to three years as a good, consistent time in the residential industry, Faye said. Were funding high-integrity, high-competency, good-quality operators in their particular markets.