New Standard Equities Acquires 182-Unit Complex in Bremerton for $13 Million

Company’s Investment in Puget Sound Region in Last Six Months Exceeds $26 Million

New Standard Equities (NSE), a Los Angeles-based, full-service real estate investment and management company, acquired Bremerton Gardens, a 182-unit multifamily project at 1014 Parkside Drive in Bremerton, WA, on the Kitsap Peninsula. The early 1940s garden-style, wood-framed property was purchased from a private party in an off-market transaction for $13 million ($71,428/unit), with Redwood-Kairos Real Estate Partners supplying the joint venture equity. Freddie Mac provided the financing through CBRE, and Jim Jensen and Kenny Dudunakis from Berkadia represented both buyer and seller in the transaction. At just under 20 acres, Bremerton Gardens is the second multifamily property in the Puget Sound region that NSE has added to its growing portfolio in the past six months. In August 2015, NSE acquired Anchor Pointe, a 107-unit apartment community in Oak Harbor, WA. “Like Anchor Pointe, Bremerton Gardens is in close proximity to U.S. naval operations, including the Puget Sound Naval Shipyard which employs 11,000 civilians and military personnel year-round,” said Edward Ring, founder and CEO of NSE. “Furthermore, this property is in a prime, irreplaceable location, offering residents beautiful, unobstructed views of Puget Sound. It is also near great dining and entertainment, and a short walk to the ferry.” Ring noted that Bremerton Gardens is in good physical condition, but in need of updating and renovation due to its 1942 vintage. Thus, it fits with NSE’s strategy of investing in properties with excellent upside potential achieved through strategic repositioning and “heavy lifting” value add. NSE plans to augment the common areas with new walking paths, signage, landscaping and hardscaping, gazebos, lighting and façade treatments that evoke the vibe of a 1940s village. Improvements to individual units will include refinished hardwood flooring, upgraded cabinetry, and new appliances, paint and countertop treatments. NSE plans to invest $3.5 million on the repositioning. Bremerton Gardens is well-situated on nearly 20 acres, averaging 9.1 units per acre. The low-density property includes 113 one-bedroom apartments, 63 two-bedroom units, five three bedrooms and one single-family home (which will be repurposed for use by all tenants). Jim Jensen, David Sorensen and Ben Johnson with Berkadia represented the seller. See CoStar COMPS #3538018 for additional information on this transaction.