By Jack Stubbs
Los Angeles-based real estate investment company Clarion Partners has been active in the Puget Sound commercial real estate market over the last few months, and last week made another sizable splash in the local marketplace. On Wednesday, November 21st, the company acquired the four-building Plaza Yarrow Bay office property in Kirkland for $134.5 million, or approximately $480 per square foot, King County records show. The seller of the property was Los Angeles-based real estate investment company Kilroy Realty.
Clarion Partners declined to comment on the transaction and Kilroy did not respond to requests for comment in time for the publishing of this story. Kilroy acquired the property for just over $100 million in April 2011 from Seattle-based Hal Real Estate Investments Inc.
Plaza Yarrow Bay is a four-building, Class A office campus built in 1987—located at 10210, 10220 and 10230 Points Drive NE and 3933 Lake Washington Blvd. NE—that totals 279,924 square feet, according to the property listing on Kilroy’s web site. It is not entirely clear how much space is currently available across the four buildings. According to Google Maps, some of the current tenants include MA Mortenson, Sterling Savings Bank and Umpqua Bank Home Lending.
According to a property listing on commercialcafe.com, there are currently 54,511 square feet of space available for lease across five suites in the property at a rental rate of $31 per square foot. Newmark Knight Frank, who is listed as the leasing agent, did not respond to emailed requests for comment.
Located in the Lakeview neighborhood of Kirkland, the property is approximately three miles south of downtown Kirkland and 2.5 miles north of Bellevue. The asset is also roughly four miles from access to Interstate-405.
Originally founded in 1982, Clarion Partners has investments in a wide variety of assets including commercial, retail, industrial, multifamily, residential and hospitality. In terms of the company’s acquisition strategy, Clarion Partners acquires 100 percent ownership interests, forms joint venture partnerships, provides equity capital to developers, and invests in various debt instruments, according to the company’s website.
The acquisition of Plaza Yarrow Bay was recorded just a day after Clarion Partners sold a different property in Tukwila. On November 20th, the company sold an industrial/warehouse building totaling 88,470 square feet—and located at 6101 S 180th St.—for $53.5 million, or approximately $604 per square foot.