By Meghan Hall
With a new excise tax on the horizon, Seattle’s property owners are eager to close deals before the year’s end. For Seattle-based Vance Corp., who has owned several downtown properties off of Westlake Avenue since at least the late 1990s, the time has come to sell its prime real estate. In a deal that closed on December 12th, the firm sold five properties to Los Angeles-based Kilroy Realty, who purchased nearly two full blocks bounded by Westlake, Stewart Street and Olive Ave. for $133 million, according to public property documents.
The transaction was a two-part deal in which Kilroy acquired four parcels at 601 Stewart Street, 1818 6th Ave., 600 Olive Way and 500 Olive Way for $95 million. This transaction included the Bank of America Building, which totals nearly 32,000 square feet at 500 Olive, as well as the Lloyd Building. Constructed in 1926, the Lloyd Building has been designated as a historic landmark and totals about 47,017 square feet. The other two properties part of the first transaction were parking garages.
The second transaction to close Thursday was for the sale of 1825 7th Ave., a surface parking lot. The property sold for $38 million, according to sales documents. The property size is about 13,500 square feet.
According to industry reporting, the Seattle Tower Building, located at 1807 7th Ave. and which shares the same block as the other parcels, is also for sale. Vance Corp. owns the building, and according to public records, its appraised value is at about $47 million. The building was constructed in 1930 and totals more than 134,000 square feet of space. No tax affidavits have yet come through indicating the sale of the property.
The Vance Corporation, who has had roots in Seattle for more than 20 years, appears to be selling of the majority of its assets. According to its website, in addition to the previous properties mentioned, the firm also owns Time Square, a 1912, 60297 square foot office building located just across the street from the Bank of America Block.
Kilroy Realty is known as one of the biggest developers and landowners in San Francisco, and with these latest acquisitions in downtown Seattle, is making a name for itself in the Puget Sound. The company is responsible for the development of 333 Dexter, which has been pre-leased to Facebook, 401 Terry, and owns the Key Center, Skyline Tower and the Fremont Lake Union Center.