By Jack Stubbs
There is rarely a short of development and sales activity occurring in Seattle’s South Lake Union neighborhood, and a 5-story office building recently changed hands for a hefty sum.
On Thursday, August 2nd, Lincoln Property Company, a Chicago-based developer and management company, purchased the 501 Eastlake Building for $58.75 million, or approximately $567 per square foot, according to public records filed with King County. Lincoln Property Company acquired the asset from Irvine, California-based LBA Realty, a real estate investment and management company that operates office and industrial properties across the Western U.S. The transaction was recorded on August 3rd.
LBA Realty acquired the property from the Wiess Company for $49.05 million in May 2012.
For Lincoln Property Company, the acquisition represents an expansion of the company’s presence in the Pacific Northwest market, according to Patrick Gilligan, executive vice president in the company’s Seattle office. “We’d inherited a few assets in Kirkland and Pioneer Square that we sold over the last few years; this is the first [asset] on Lincoln Property Company’s West platform,” he said. “We’re excited and this is a great asset; we’re very excited to continue building our presence in the Pacific Northwest and in Oregon.”
The 501 Eastlake Building, built in 2002 and located at 501 Eastlake Ave. E., totals 103,494 square feet and sits on a half-acre site, according to the property listing on LBA’s web site. The asset offers views and balcony access and also includes efficient floor plates and underground parking. The property also features automated parking and building entry and an elevator access card system. According to the flyer, there are currently 67,163 square feet of office space available across five different suites. The building is currently occupied by UW Prosthetics and Orthotic Clinic, according to Google Maps.
Neither Oscar Oliveira or Damon McCartney with Broderick Group, who are listed as the brokers for the property, responded to calls or emails for comment about the sale.
The property sits in the heart of South Lake Union and is less than half a mile from Lake Union Park. Additionally, the asset is approximately one mile north of the Amazon Spheres and is located in close proximity to a number of transit corridors including I-5, State Route 520, I-90 and Hwy 99.
Lincoln Property Company was founded in 1965 as a developer and manager of high-quality residential communities and has since expanded into the commercial real estate market, according to the company’s web site. Lincoln Property Company provides a wide range of services to its clients including development, construction and property management, advisory services and investments and acquisitions. The company’s commercial portfolio includes properties in Washington D.C., Austin, Atlanta, Orange County, and Brooklyn New York, among other locations.
LBA Realty is an investment and management company that operates a diverse array of office and industrial properties in major markets throughout the western U.S. including California, Colorado, Washington, Oregon, Arizona, Nevada, Texas and Utah, according to the company’s web site. Some of the company’s properties in the Puget Sound region include 3600 South 344th, a 97,216 square foot property in Federal Way; the 65,462 square foot East Campus Corporate Park IV in Federal Way; and the TwoPine Building in Seattle.
LBA Realty made a couple of acquisitions in early April of this year. On April 4th, the company acquired two warehouse/manufacturing buildings in Renton totaling roughly 140,000 square feet for a combined $19.5 million from Seattle-based marketing company American Legend Cooperative. And on April 16th, LBA purchased two warehouse/manufacturing buildings in Tukwila and Kent for a combined $14.55 million from an entity based in Medina, Washington.