By Jack Stubbs
The two-building Quadrant Willows Corporate Center in Redmond, sold last Thursday September 7th, in a $16.8 million deal, or approximately $194 per square foot, according to public records filed with King County. The buyer of the 86,600 square-foot asset was Pietromonaco Properties, a Mercer Island-based commercial real estate investment company. The buildings were purchased by Reez Properties, a commercial property management company that operates in Redmond and Kirkland.
The property is comprised of two buildings, located at 11601 and 11611 Willows Road NE. The first building is 40,500 square feet, and the second is 46,100 square feet. The office building is a ‘Class B’ property, according to commercial real estate web site LoopNet.com. Some of the tenants currently occupying the buildings are Cervast Medical, Inc., a biotech company, and Volt Technical Resources, an employment agency.
In January of 2017, Philadelphia-based Equus Capital Partners acquired two office buildings at Quadrant Willows Corporate Center from seller, Palo Alto-based Menlo Equities. Building B, at 65,080-square-feet, and building D, at roughly 55,000-square-feet, sold for $11.9 million and $10.4 million, respectively. On a combined per square-foot basis, that comes to approximately $186.
The buildings, built in 2001, are located just three miles to the northwest of Redmond town center and five miles to the northeast of Kirkland. Notably, the office building is just five miles north of Microsoft’s headquarters in the Overlake neighborhood, and it sits next to the Sammamish Valley Park and the Willows Run Golf Complex.
The Eastside suburban markets, with limited construction delivery or in the works, have remained flat as a reasonable amount of leasing is being offset by space give backs and subleasing, according to a recent, second quarter of 2017 Eastside Office Market report by The Broderick Group. All suburban markets vacancies are currently healthy, with Redmond at 9.1 percent. The appeal for Redmond continues to be closely tied to Microsoft’s general business activities. This submarket has traditionally done well as the tech company’s partners and vendors seek space near its campus.
Reez Properties operates a portfolio of ‘Class A’ office spaces combined with laboratory areas ideal for software development, light manufacturing and engineering.
Pietromonaco Properties manages and owns industrial, commercial and retail assets. The company provides service to professionals at all levels of the real estate industry.