By Meghan Hall
The Seattle suburb of Bothell continues to attract the interest of investors. In recent months, a number of office buildings within the growing city have sold, and another deal within its limits has been added to the list. In a deal that was finalized last week but just recorded, Stockbridge Capital Group sold North Creek Place for $27.3 million, or about $286 per square foot. The buyer, based on public records, is an entity associated with Portland’s Winkler Development Corporation.
The property is located at 12100 NE 195th Street and was originally placed on the market this past summer, according to previous reporting by The Registry. Guidance was not originally disclosed. Newmark’s Kevin Shannon and Nick Kucha marketed the property for sale on behalf of the seller.
In all, the asset totals 95,194 square feet. The property is split with 90,062 square feet of Class A office space and another 5,132 square feet of storage space. At the time the property was placed on the market, it was 86 percent leased. In-place leases have an average weighted lease term remaining of about 6.2 years. Typically, the asset has secured 7 to 10-year leases from its tenants.
Stockbridge has owned the property for a number of years, and originally acquired the asset from Seattle-based Schnitzer West for $24.5 million, or about $257 per square foot at that time, according to public records. Over the years, Stockbridge fully renovated the lobby and many of the property’s suites have received tenant improvement build-outs.
Bothell has become a hub of activity in recent months. Most notably, major developer Alexandria Real Estate equities has acquired a number of properties in the area. Its most recent acquisition was Canyon Park 228 for $32 million. Alexandria has also acquired the Canyon Park Heights complex for $45 million, as well as Canyon Park Business Center for $200 million.
In other notable deals, Peregrine Realty Partners sold the North Creek Parkway Center for $62.1 million to TPG Real Estate. The Seattle Times has also shed some property, selling its former Bothell offices for $10 million to developers this past June. Last year, it sold 24 acres for $51 million to AvalonBay Communities. Combined, change is on the horizon in Bothell as institutional money, new development, and additional business make the suburb home.
