Seattle, WA (September 10, 2021) — Newmark announces it has arranged the sale of Corporate Campus East III, a four-building multi-tenant office campus located in Bellevue’s 520 Corridor, for $83.850 million (around $522 per square foot).
Newmark Co-Head of Capital Markets Kevin Shannon, Executive Managing Directors Rob Hannan and Ken White, and Senior Managing Director Michael Moll, in cooperation with Vice Chairman Nick Kucha, Executive Managing Director Joe Lynch, Senior Managing Director Dan Harden and Director Rachel Jones represented the seller, a partnership between Ares Management LLC and SteelWave. The buyer was American Assets Trust.
“The Bellevue office market continues to perform with tremendous resiliency through the pandemic, making it one of, if not the most, desirable office investment markets in the nation,” said Shannon. “Capital continues to be drawn to Bellevue and the surrounding Eastside submarkets due to the stellar array of diverse economic drivers propelling the region.”
The four-building campus, spanning nearly 12 acres, is located at 3001, 3005, 3009 and 3015 112th Avenue NE and consists of 160,508 rentable square feet. The campus is 83% leased to a diverse tenant mix with an aggregate weighted average remaining lease term of more than six years. The property recently completed multiple renovation initiatives, which included the repositioning of various interior common areas and exterior plazas as well as building system upgrades. Additional property features include premier signage, flexible floorplates, ample parking and convenient regional access.
The 520 Corridor connects Seattle to Redmond. The property effectively lays equidistant between the two, occupying a highly strategic Eastside location. The Eastside, the region’s most urban market outside of Seattle, offers transit-oriented options, live-work communities, walkable restaurants and shopping, bike paths, parks and campus-style settings.
The 520 submarket currently boasts a direct vacancy rate of 6.5% while rental rates have surged approximately 20% over the last ten quarters, according to Newmark Research. FAANG+M tenants continue to migrate east and grow their footprints on the Eastside, which will likely continue to drive market fundamentals in favor of landlords.
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Our comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, growing startups to leading companies. In 2020, Newmark generated revenues in excess of $1.9 billion. Newmark, together with London-based partner Knight Frank and independently-owned licensees, operates globally from approximately 490 offices with 19,300 professionals. To learn more, visit nmrk.com or follow @newmark.