Completed in 1967, the Tanglewood is a 42-unit apartment community centrally located in Lynnwood on an expansive 1.65-acre parcel. Offered to the market for the first time in 46 years, the Tanglewood is nestled just south of the entrance to Scriber Lake Park and one mile from the Lynnwood Light Rail station, which opened for ridership on August 30th, 2024. Tenants enjoy the peaceful setting with every unit offering an east-facing deck looking out on the Tanglewood’s private park. The property consists of 30 one-bedroom, one-bathroom units averaging ±800 square feet and 12 two-bedroom, one-bathroom units averaging ±1,000 square feet with a vanity off the second bedroom.

An excellent value-add opportunity, current rents are $400-$500 below comparable properties in the immediate areas. Building systems consist of copper supply lines and cast-iron drain lines, and electrical is all copper wiring. Siding is classic cedar, with the south side being replaced in spots and repainted in 2018. Heat is provided through radiant heat in ceilings. A new roof in 2022 means an incoming investor will only need to focus on aesthetic exterior renovations and interior renovations to achieve a 6.3% pro forma cap-on-cost and a 7.31% average cash yield over the life of the hold.

Lynnwood, Washington, located in Snohomish County about 16 miles north of Seattle, is conveniently positioned along Interstate-5 and Highway 405. This makes commuting south to Seattle, east to Redmond and Bellevue, or north to Everett straightforward, particularly with the Tanglewood’s excellent access to Light Rail.