By Jack Stubbs
Google has recently made moves to expand its footprint in the Eastside market.
The company currently leases approximately 375,000 square feet in Kirkland at its two-building Kirkland campus located at 747 6th St. South, but it seems that the tech giant is intent on increasing that figure.
The company recently signed an 80,000 square foot lease in the three-building One Twelfth @ Twelfth office campus just north of downtown Bellevue, according to an industry source with knowledge of the transaction, and plans to lease 30,000 more feet sometime in the near future.
According to the industry source, Google is taking at least four floors in the campus through a combination of direct leases and subleases.
The Broderick Group, who is the listing broker for the property, declined to comment on the transaction.
The One Twelfth @ Twelfth campus, located 1110 & 1120 112th Avenue NE, consists of three six-story office buildings totaling 480,267 rentable square feet, according to the property listing on Broderick Group’s web site. There are currently 98,056 square feet available for rent across the East and West Buildings, with rents ranging from $28 to $31 per square foot. The property also features an on-site athletic facility, café and conference facilities, as well as direct access to Interstate-405, State Route 520 and I-90.
It is not entirely clear who else currently occupies the three buildings. According to Google Maps, some of the current tenants include software company VoiceBox Technologies Inc., home builder MainVue Homes and financial consultant Guidant Financial.
Google’s lease in the One Twelfth @ Twelfth campus marks the latest chapter for the property. Gemini Rosemont acquired the asset for $217 million, or approximately $452 per square foot, from Principal Real Estate Investors in mid-December 2016.
The ever-expanding technology company is also said to be looking at taking space in the mixed-use Kirkland Urban project, which is a joint venture between Seattle-based Talon Private Capital, Minnesota-based Ryan Companies U.S. Inc. and PGIM Real Estate. Upon completion in 2021, the total project will deliver 650,000 square feet of office space, 180,000 square feet of retail, over 300 residential units and 2,400 underground parking stalls.
The first phase of the Kirkland Office project includes two office towers that will provide a combined total of 396,054 square feet of Class A office space, which is already partially pre-leased. Wave, a cable, television and internet provider, will occupy three floors in Urban Central, a six-story tower consisting of around 197,000 square feet, and Tableau Software will lease almost half of Urban North, a seven-story nearly 196,000-square-foot tower.
Across Lake Washington in Seattle, also, Google has plans to expand its current footprint, and will occupy nearly 1 million square feet in the city’s ever-active South Lake Union neighborhood following the completion of another in-the-works project. In mid-August 2018, Vulcan Inc. announced that the technology company would occupy the developer’s planned 12-story office building that is across the street from the underway four-building, 638,000 square foot Lakefront Blocks campus in Seattle’s South Lake Union neighborhood.
Vulcan is planning to re-develop Block 36—a 12-story project located at 520 Westlake Ave. N. in the heart of South Lake Union—as the fifth building for Google’s larger campus. The development, for which a design proposal was most recently submitted in fall of 2014, comprises 322,000 square feet of office space. In addition to office space for Google, the development will also include 330 parking stalls across four levels of below-grade parking and 23,000 square feet of street-level retail.
Construction on Block 36 is scheduled to begin in fourth quarter of 2019, with shell and core of the structure scheduled to be complete in July 2021, according to Lori Mason Curran, director of real estate investment strategy at Vulcan. The development is one block away from the under-construction Lakefront Blocks—located at 625-630 Boren Ave. North—which is a four-building, mixed-use office campus developed for Google. When complete in 2019, the project will ultimately include 638,000 square feet of office space, 11,500 square feet of retail and 149 market-rate units. Graphite Design Group and Runberg Architecture Group are also on the team for Lakefront Blocks.
