Shorenstein Properties, a San Francisco-based commercial real estate owner and investor, expanded its relationship in Redmond with Microsoft. The company leased to the technology giant Building 3, a three-story, 85,876-square foot building in the Redmond Town Center complex, according to sources with direct knowledge of the transaction.
The building, located at 16221 NE 72nd Way in Redmond, was occupied by AT&T for many years. AT&T’s lease expired at the end of 2017 giving Microsoft an opportunity to grow its presence in the complex. Microsoft also occupies Buildings 4, 5 and 6, and it recently renewed the leases in these buildings on a long-term basis, which speaks to the strength of the location and the firm’s strong belief about the benefits of this location, according to sources.
Shorenstein’s owns a 592,000 square-foot office portion of the larger 1.3 million-square-foot mixed-use lifestyle center. The ownership spreads across six buildings, which Shorenstein acquired in 2013 from an entity associated with Macerich, a Santa Monica-based REIT that is one of the nation’s largest owners and operators of shopping centers in the United States.
The buildings were constructed in the late 1990s, from 1997 to 2000, according to Shorenstein. They are between three and five stories tall with floor plates between 18,000 and 30,000 square feet.
In addition to the center’s restaurants, retail and lifestyle amenities, the property faces the Bear Creek Trail, a half-mile segment of pedestrian and bike trail, which connects into a four trail system of walkways looping around the city of Redmond, according to Shorenstein’s web site. The property is located just a half-mile from Redmond Transit Center, which provides transportation options to locales throughout the Puget Sound region, and three miles from Microsoft’s campus.
Broderick Group’s Grant Yerke and Matt Schreck led the leasing on behalf of the landlord, according to the property’s brochure.