Kennedy Wilson has closed a $175 million senior construction mortgage for a new multifamily development at 1999 Eye Street NW in downtown Washington, D.C. The financing will support the ground-up construction of a 14-story residential property that is planned to deliver a substantial addition to the urban housing stock in the city's core.
The project at 1999 Eye Street NW is designed as a 434-unit multifamily community. Plans call for a mix of 340 market-rate residences, 50 student housing units totaling 200 beds, and 44 affordable units. This program reflects an effort to serve a range of resident profiles, including conventional renters, students, and income-qualified households.
In addition to its residential component, the development will include approximately 15,600 square feet of ground-floor retail space. The incorporation of retail is expected to activate the street level and align the project with the broader mixed-use character of downtown Washington, D.C. The plans also provide for 189 residential parking spaces, offering on-site parking capacity in a dense urban location.
The development is being sponsored by a joint venture between Stonebridge, The Bernstein Companies and Criterion Real Estate Capital. A separate account advised by MetLife Investment Management is participating as an institutional equity partner in the project. Together, these entities form the sponsorship and equity capital structure behind the new multifamily community.
1999 Eye Street NW is located in downtown Washington, D.C., near a concentration of major employers and institutions. Nearby anchors include the World Bank, the International Monetary Fund and George Washington University. The location places the project within a walkable environment that is closely tied to global financial institutions and a major university campus.
Commenting on the transaction, Craig Lockard, Managing Director in the Debt Investment Group at Kennedy Wilson, noted the firm's role in supporting the development of 1999 Eye Street in partnership with Stonebridge, The Bernstein Companies, Criterion Real Estate Capital and MetLife Investment Management. The closing of the construction mortgage marks a key capital milestone for moving the downtown Washington, D.C. multifamily project forward.
