By Meghan Hall
Clise Properties, a Seattle-based development company who has operated in the region for more than 100 years, has purchased an aging asset at the heart of Bellevue. In a transaction that closed on November 16th, Clise paid $28.25 million for a retail strip center on the corner of NE 8th Street and 102nd Ave. NE. The seller, based on public documents, are several limited liability companies affiliated with Corey Ford, Lawrence McAusland and Mary Walker.
The property is located at 10210 NE 8th St. According to King County Parcel data, the strip mall was constructed in 1962 and totals 14,538 square feet. The retail center’s tenants include Starbucks, Mephisto and See’s Candies. The asset is adjacent to a number of other retailers, including the Bellevue Village Center, a shopping mall anchored with a QFC, P.F. Chang’s, Nordstrom, Macy’s and other big-name brands.
It is unclear what Clise’s plans are for the property, but the company is known for several large-scale developments and deals throughout the Puget Sound. Buildings part of its Puget Sound Portfolio include Sixth and Lenora, the Denny Building, and the Westin Building Exchange.
Although retail sales across the nation rebounded in the third quarter due to improved consumer sentiment, retail fundamentals still weakened, according to an analysis released by CBRE. Negative absorption came to 15 million square feet at the end of the quarter—mostly in the neighborhood, community and strip center segment—the largest decline since the first quarter of 2009. The overall retail availability rate increased to 6.6 percent, marking the third consecutive quarter of increased availability across all retail types.
However, on a positive note, overall retail net asking rents increased slightly to $18.39 per square foot. CBRE notes that while unexpected, the rise is due to properties in high growth, resilient markets and urban cores. Landlords in weaker submarkets are offering higher concessions to preserve rental rates.