(EDITOR’S NOTE: According to public records, the asset traded for $95.5 million.)
Bellevue — Patrinely Group, in partnership with affiliates of Dune Real Estate Partners (“Dune”), successfully closed on the acquisition of a fully-entitled development site for a 484,000-square-foot office tower in Downtown Bellevue. The joint venture acquired the 0.93-acre site together with an advanced building design from an affiliate of FANA Group of Companies (FANA). Prominently located at the Southeast corner of NE 4th & 106th Avenue NE, the trophy Class A building is currently set to break ground this spring and deliver in Q4 2024.
“We are firm believers in the Bellevue market,” said Robert Fields, President and CEO of Patrinely Group. “We are confident this state-of-the-art building will be a welcome addition to the growing Bellevue skyline and provide prospective tenants an office space that will meet their needs not only today, but well into the future. We inherited a strong design and have applied Patrinely Group’s 35+ years of office development expertise to enhance that design to ensure delivery of a top-quality asset that will exceed the market’s expectations.”
The 21-story office building will include approximately 480,000 rentable square feet of office space and 6,500 square feet of street-level retail. The average floor plate size will be 24,000 rentable square feet. The building will feature a fully equipped fitness center with well-appointed shower and locker facilities. To provide best-in-class office space adaptable to a wide range of uses, FOUR106 will be a tech-enabled building that will include many first-class features and COVID-friendly amenities. The building will feature hands-free entries, delivery dispatch hands-free elevators, hands-free restrooms and has been designed to meet LEED Gold standards for core and shell.
“Tenant demand for new, state-of-the-art office space, especially in top knowledge markets like Bellevue, has been robust,” said Dan Neidich, CEO and Partner of Dune, adding, “FOUR106 represents a unique opportunity to develop outstanding product in a differentiated location within a market that has very attractive fundamentals.”
“We’re excited to soon break ground on this great project,” added Matt Chamberlain, Patrinely Group’s Executive Vice President responsible for the Western U.S. “The design and location will make FOUR106 one of the most sought-after buildings in Bellevue. With unobstructed views of Lake Washington, the office tower will also offer excellent multi-modal transit options and unrivaled walkability to Old Bellevue, Bellevue City Park and the Bellevue Collection.”
FOUR106 offers quick access to both I-405 and I-90 and will offer underground parking, which will be equipped with EV charging stations. For those not driving themselves, FOUR106 will benefit from a modern, dedicated ride-share pavilion, and an extensive bicycle parking facility, along with its proximity to two of the upcoming light rail stations within a five-minute walk from the building. The building offers a highly walkable environment just steps away from the Bellevue Downtown Park and Bellevue Square, which is home to over 200 retail stores and dining options.
“Dune is thrilled to be partnering on FOUR106 with Patrinely Group, a best-in-class real estate development firm with a strong track record of developing distinguished office buildings in major markets across the country,” said Aaron Greeno, a Partner and Head of West Coast for Dune. “We look forward to jointly delivering this tremendous project in one of the strongest office markets in the country, along with the incredibly talented development team that has beenassembled for the execution of this project.”
The design team includes base building architect CollinsWoerman, general contractor Mortenson Construction, and structural engineer DCI. The design team’s collective expertise includes various public and private projects, including many for companies with a substantial and growing presence in the Puget Sound region. Gensler’s Houston office was recently added to the design team as the interiors architect.
Paul Sweeney, Jason Furr and Colin Tanigawa of The Broderick Group will be leasing FOUR106 on behalf of Patrinely Group and Dune. Kevin Shannon, Ken White and Tim O’Keefe of Newmark represented the Seller on the sale of the site. Bill Fishel, Tom Wilson and Rachael Lewis of JLL arranged financing for the project.
About Patrinely Group, LLC
Patrinely Group is a national real estate investment, development and management firm focused on large-scale, Class A commercial office, multifamily, industrial and data center properties in major markets. Recognized as a leader in real estate development since 1983, Patrinely Group has a wide and growing national footprint, and has completed $15 billion in transactions.
About Dune Real Estate Partners
Dune Real Estate Partners LP is a New York City-based real estate investment firm executing an investment strategy that focuses on distressed, deep value-add and contrarian investing balanced by region, sector, and risk profile. Dune manages the Dune Real Estate Funds, which were launched by Mr. Daniel M. Neidich in 2005 and have raised approximately $4.3 billion of equity capital to date. Dune invests on behalf of pension funds, sovereign wealth funds, endowments and other large institutions and individuals.