Strathcona Capital and Belay Investment Group Close $32.7 Million Construction Loan for 105-Unit Seattle Multifamily Project
LOS ANGELES — Strathcona Capital and Belay Investment Group have closed a $32.7 million senior construction loan for 1 Fremont, a 105-unit mixed-use multifamily development in Seattle's Fremont Village neighborhood, the firms announced Aug. 13, 2026. The transaction also marks the formal launch of a programmatic joint venture between the two lenders, aimed at pursuing construction and bridge financing opportunities across the United States.
The borrower is Seattle-based Cohen Properties, LLC. Construction is scheduled to begin in summer 2026, with completion targeted for late 2027 or early 2028.
A Programmatic Partnership Built Around Multifamily Credit
The joint venture between Strathcona Capital and Belay Investment Group is structured as a programmatic platform, with a primary focus on multifamily assets. The 1 Fremont loan represents the partnership's inaugural investment.
"We are excited to embark on this partnership with Belay to invest in high-quality bridge and construction credit investments across the US, with a primary focus on multifamily assets," said Kevin Ryan, Managing Partner at Strathcona Capital. "We continue to source and add attractive multifamily credit investments to our portfolio, and 1 Fremont is another great addition — partnering with an experienced developer like Cohen Properties on a well-located, thoughtfully designed asset."
Eliza Bailey, Co-Founder, CEO and CIO of Belay Investment Group, said the partnership reflects the firm's broader strategy of working with specialized operators. "Belay is thrilled to announce the formation of our programmatic partnership with Strathcona, whose experienced team brings a deep background in credit structuring and investment," Bailey said. "We believe that the 1 Fremont loan is a strong first investment given the to-be-constructed multifamily product which will meet growing demand in this desirable submarket in Seattle. We look forward to working alongside the Strathcona team to build upon this momentum as we establish and expand our new venture."
Project Details: 1 Fremont in Seattle's Fremont Village
The 1 Fremont development is a mixed-use building that will integrate residential and retail uses. The project is designed to serve Seattle's professional workforce, with the Fremont Village area positioned near major tech and creative employers including Google, Salesforce, and Adobe.
The neighborhood's mix of arts, entertainment, and technology employment hubs has contributed to demand for housing among Seattle's educated workforce. Because the project is to-be-built, the loan is underwritten against future demand rather than existing cash flow from an operating asset.
Lender Profiles and Market Context
Strathcona Capital, founded in 2021, focuses on origination, asset management, and servicing of real estate credit investments across the United States. The firm targets fixed- and floating-rate real estate loans across property types and sizes, with a primary emphasis on multifamily construction and bridge opportunities. Its leadership team has deployed more than $7 billion of real estate debt in the United States.
Belay Investment Group is an institutional real estate investment management firm that pursues investment opportunities across the risk spectrum, property types, and geographies, including both debt and equity. The firm operates through programmatic partnerships with locally focused operators, seeking exclusive deal flow and market-level insights.
The transaction comes as construction lenders have remained selective in their underwriting, favoring experienced sponsors and projects in submarkets with durable demand fundamentals. Nationally, persistent office market weakness — with U.S. office vacancy at 20.2% as of early 2026 — has reinforced lender and investor preference for multifamily credit over office exposure. Seattle's Fremont Village, with its proximity to established technology employers, represents the type of submarket that has continued to attract construction financing even as broader lending conditions remain disciplined.
Outlook
With construction set to begin in summer 2026 and a completion window of late 2027 to early 2028, the 1 Fremont project will enter lease-up in a period when Seattle's multifamily supply pipeline and absorption trends will be closely watched. The programmatic structure of the Strathcona Capital and Belay Investment Group joint venture suggests additional transactions are expected to follow as the two firms build out their combined construction and bridge lending platform.
Sources: Belay Investment Group