By Meghan Hall
Two development sites at the heart of both Redmond and Bellevue have been posted for sale as investment continues to pour into the Eastside. According to an offering memorandum obtained by The Registry, 88 Bellevue and “Redmond City Center” have hit the market. Guidance pricing for the two sites was not immediately available.
88 Bellevue is being sold by an entity affiliated with Lakeside Holdings LPI, according to public records. Located at 44/102 Bellevue Way NE, the asset encompasses an entire city block and 144,146 square feet. Due to its size, the property is capable of hosting a number of different development scenarios, including two-tower designs complete with residential, office and mixed-use configurations.
88 Bellevue’s location is also highly desirable. The property is adjacent to Amazon offices and Bellevue Plaza, a major shopping center. If redeveloped, the property would add to a long list of projects expected to rise in downtown Bellevue. In recent weeks, Skanska has announced its intention to begin construction of The Eight, a $476 million, 540,000 square foot office tower. Kemper Development Company is also moving forward with The Bellevue, a 1.8 million square foot mixed-use project located at 401 Bellevue Way NE.
The second location up for grabs is located in Redmond. Called “Redmond City Center,” the property is located at 16135 NE 85thStreet. In all, the property totals 2.3 acres, or 99,863 square feet.
“Prominently located in the heart of Downtown Redmond, Washington, the site offers investors an extremely rare opportunity to acquire a prime development site in one of the region’s most coveted cities for both residents and employers,” the offering memorandum states.
The property is fully entitled for mixed-use development that would include 425 residential units and 49,000 square feet of retail space. However, developers have the option to modify the plans with two office towers, if desired. Cosmos Development Company, the property owner, and JMA Architecture, have been working on plans for several years.
The project is not to be confused with the Redmond Town Center, a 693,000 square foot retail development also located in Central Redmond. The property also includes more than 100,000 square feet of office space and hosts a number of retailers and major employers such as Microsoft. Other big name companies such as Nintendo, Oculus, SpaceX, AT&T, and more are also in the vicinity.
Other nearby amenities are also major draws to investors and employers, including the downtown Redmond Transit Center and the Light Rail, which will be delivered in 2024. The area also features a walk score of 91–meaning most errands can be done on foot–as well as 59 miles of trails and more than 1,300 acres of parks.
CBRE notes that the Redmond office market currently boasts a 2.2 percent vacancy rate, one of the lowest in the Puget Sound. Asking rents also remain stable at $43.41 per square foot.
Neighborhood demographics are also strong, with the median household income reaching $143,000 per year. 73.3 percent of the surrounding population has a Bachelor’s or advanced degree, and 50 percent of residents are renter occupied. The area’s daytime population is about 135,000. With these fundamentals,
As of this writing, CBRE had not yet returned The Registry’s request for comment.