Acquisition Brings Buyer’s Holdings to Over 4 Acres—Creating one of the Largest Contiguous Development Sites in Seattle
SEATTLE – March 25, 2021 – CBRE has completed the $25.05 million sale of a 1.82-acre property home to a Safeway grocery store in Seattle’s University District. Located at 3020 NE 45th Street, the property is ground leased to the grocery chain, which has operated as a tenant at the site since 1976. Albertsons Companies, parent company of Safeway, purchased the property in a sale that closed March 16. The company already owns the surrounding 2.2 acres. The acquisition brings Albertsons holdings to more than 4 acres, creating one of the largest contiguous development sites in Seattle.
Dino Christophilis and Daniel Tibeau with CBRE’s National Retail Partners in Seattle represented the seller, a private family trust.
“At 1.82 acres, this is the largest site held under private ownership that has been brought to market in recent history. Its proximity to the thriving population around the University of Washington and U-Village position it among the most desirable tracts of land in all of Seattle, netting substantial investor interest,” said Mr. Christophilis, senior vice president, CBRE. “In the end, Albertsons exercised its right of refusal to successfully acquire the site and create a contiguous holding of significant size.”
The property is located at the eastern end of the University of Washington campus. It lies adjacent the U-Village shopping center, an 800,000-square-foot, high performing, open-air lifestyle center. Anecdotally, sales are estimated to be at or near the highest in the region for retail.
The site is zoned for a range of uses, including market-rent housing, student housing, medical office, hotel, retail, assisted living or entertainment, among others. Per the City of Seattle’s Mandatory Housing Affordability (MHA) program, the site could be redeveloped up to 75 feet in height in exchange for a developer contributing affordable housing units or funds.
Earlier this year, Seattle was named the fifth most-desirable market in the U.S. for commercial construction, according to CBRE’s U.S. Development Opportunity Index. Seattle ranked highly for its historically high demand for commercial development, past-cycle rent growth, supply strength and positive market outlook.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE: CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2020 revenue). The company has more than 100,000 employees serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services.