Home Industry News HFF Closes $33.65MM Sale And Arranges $25.5MM Financing For Mixed-Use Commercial Condominium...

HFF Closes $33.65MM Sale And Arranges $25.5MM Financing For Mixed-Use Commercial Condominium In Seattle

PORTLAND, OR – Holliday Fenoglio Fowler, L.P. (HFF) announced today that it has closed the $33.65 million sale of and arranged $25.5 million in financing for Bay Vista, a 119,793-square-foot, mixed-use commercial condominium with 173 underground parking stalls in Seattle. 
 
HFF marketed the property on behalf of the seller, The Carlyle Group, and procured the buyer, Madison Marquette Realty Services. Additionally, HFF arranged a $25.5 million, floating-rate loan through Natixis Real Estate Capital LLC for the new owner. Loan proceeds were used to acquire the property and fund future capital expenditures and re-tenanting costs.
 
Bay Vista is located at 2815 2nd Avenue just north of the Seattle Central Business District, southwest of South Lake Union and less than half of a mile south of Seattle Center, home to the Space Needle, Pacific Science Center and Key Arena. With a Walk Score of 98, the property boasts an amenity-rich location with close proximity to numerous mass transit options including bus routes, streetcar lines, bike lanes and car sharing locations. The offering comprises 12 commercial condominium units within the first five floors of the building. The 18 floors above Bay Vista, which were not part of the offering, consist of privately-owned residential condominium units. Tenants at the 88-percent-leased tower include Welfare & Pension Administration Services, Committee for Children, State of Washington: Board of Industrial Insurance Appeals, Syntegrity, Maul Foster, Team Soapbox and Epic Team Adventures.

The HFF investment sales team representing the seller was led by senior managing directors Nick Kucha and Michael Leggett, who is also co-head of HFF’s West Coast team. 
 
HFF’s debt placement team was led by managing director Mark Remington and associate director Erica Christensen. 
 
“Bay Vista has been repositioned as the dominant, technology-oriented office destination for millennial users and since 2015, new leasing activity at the property has been 100 percent dominated by STEM and creative tenants,” said Kucha.
 
“Natixis delivered as promised, and Madison Marquette acquired an asset that is well-positioned to significantly increase in value once it applies its magic,” added Remington. 
 
About Madison Marquette 
Madison Marquette is a premier real estate property management, leasing, marketing and development firm specializing in mixed-use, urban street and infill, community and specialty/entertainment retail properties in top tier markets across the United States.
 
About Natixis
Natixis Real Estate Capital LLC, a subsidiary of Natixis, is a full-service, direct lender offering a wide range of financial solutions for commercial real estate for its clients throughout the United States. It specializes in CMBS originations and also provides floating-rate structures for opportunistic property acquisition and repositioning situations. It has the ability to underwrite the full capital stack, including first mortgage, mezzanine/B-note, and preferred equity.
 
About HFF
HFF and HFFS (HFF Securities L.P.) are owned by HFF, Inc.  HFF operates out of 23 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing.