February 1, 2023

56 Fremont units, not quite done, face foreclosure

Photo by Brian Miller [enlarge]

The project was called Forge before it sold and increased in scale.

A corner development site at 4035 Stone Way N. sold to a local investment group in the summer of 2019. Seller Pryde Development had by then obtained a master use permit for the apartments designed by Clark Barnes. Since that plan originated years before that area was upzoned, the MUP was subsequently modified by the new owners. Thus, a larger five-story 56-unit project was later approved by the city.

Construction under general contractor Meridian began in the fall of 2020. What's now called La Grande Villas appears close to completion on the corner of North 41st Street, but it's also now under threat of a foreclosure sale.

La Grande Villas LLC took out an over $25.7 million construction loan from Trez Capital of Vancouver B.C. That was in early 2020. Liens have been filed against the owner during construction. And now the lender has apparently called in the loan. A preliminary trustee sale notification appeared last week in the DJC.

The property is headed to a foreclosure auction on May 26, unless the owner can find first new funding — which is entirely possible, though not at a low interest rate. Alternatively, the building could be sold empty and without a certificate of occupancy to a brave buyer.

Revised numbers for the project include 3,130 square feet of retail, and 30 underground parking stalls. A roof deck will offer some 2,738 square feet. That contributes to a total project size of 62,448 square feet, with a Mandatory Housing Affordability fee of $115,870 square feet. Units will run from studios to two-bedrooms.

The team also includes PSM Engineers, structural; SiteWise Design, civil engineer; Earth Solutions Northwest, geotechnical engineer; Ground Support, shorting; Cross 2 Design Group, envelope; LSA Engineers, surveyor; and Fazio Associates, landscape architect.