By Jack Stubbs
On Monday, August 27th, the Sixth and Battery Building in the Denny Triangle area of downtown Seattle sold for $31.25 million, or approximately $482 per square foot, according to public records filed with King County. The building site is adjacent to where a two-tower, 1,000-unit mixed-use development is planned.
The buyer was BB6 Seattle LP, an entity associated with a Canadian development company. The seller was Seattle-based HB Management, a company that focuses on the development and management of apartment buildings throughout the Seattle area. The transaction was recorded on August 28th.
Kidder Mathews represented the buyer in the off-market transaction. The $31.25 million transaction represents Phase I (the southern half) of the two-parcel development site. Phase II (the total assemblage comprising both the northern and southern half of the site) is scheduled to close for $60 million next year, according to Kidder Mathews.
HB Management did not respond to calls for comment about the transaction in time for the publishing of this story.
The sale was for the Sixth and Battery Building located at 2326 Sixth Ave., which is a 64,800 square foot office building constructed in 1950, according to the property listing on loopnet.com. Formerly home to Antioch University, the building currently has 36,145 rentable square feet available, according to Colliers’ flyer for the property. Colliers did not respond to calls for comment about the property sale.
It is not yet entirely clear what plans the buyer has for the acquired building. However, HB Management has a project in the works located at 2300 6th Avenue adjacent to the 6th and Battery Building. According to HB Management’s web site, the mixed-use development will include two 41-story towers (comprised of 500 residential units per tower), 12,000 square feet of street-level retail and 300 parking stalls. Called BB6, the project is being designed by VIA Architecture and was most recently reviewed at a Design Review Recommendation meeting in April 2016.
Some of HB Management’s other projects in Seattle include 307 Broad, a nine-story building comprised of 152 residential units and 125 parking stalls; Vida, a 7-story, 201 unit residential project in Seattle’s Roosevelt neighborhood; and Mio, a 4-story, 40-unit apartment property also located in Roosevelt.
The recently-acquired parcel on Sixth Avenue occupies a prominent location in the heart of Denny Triangle and is within walking distance of the Central Business District, Belltown and South Lake Union. The site is also one block from where Clise Properties is developing Block V, a mixed-use project that when complete will include 638 apartment units, 173,175 square feet of office space, 10,700 square feet of retail and 750 parking stalls. Designed by Graphite Design Group, Block V was most recently reviewed at a Design Review Recommendation meeting in January 2016.
Along with the in-the-works BB6 and Block V projects, There have been a couple of other developments planned for Denny Triangle discussed at Design Review meetings in recent months. In early April 2018, Vulcan’s 5th and Lenora project located at 2025 5th Ave.—which will ultimately include 463 residential units, 3,300 square feet of street-level commercial space and 315 below-ground parking stalls—was denied approval at a Design Review Recommendation (DRR) meeting. In mid-May, Onni Group’s two-tower development located at 1120 John St., which will include approximately 940,000 square feet of commercial office space, 54,000 square feet of retail space and 1,200 below-grade parking stalls, was given the green light at an EDG meeting.