Vulcan has been a transformative force in Seattle for infill development, and in many ways the company helped create the city’s South Lake Union submarket as it is today. Most recently, however, the company has set its sights on Bellevue taking a number of available lots over the last couple of months and amassing a portfolio of strategically located properties that will solidify the company’s position in the Eastside city, as well.
This week Vulcan took another four parcels located at 201 106th Ave. NE in Bellevue for $13,791,195. The seller was an LLC associated with Bellevue residents Xiao Wei Yang and Wang Run Xiang and their company 12 Bellevue International LLC, according to public documents. One of the lots on the property is currently a Taco Time restaurant. The four parcels are on the southeast side of the block bounded by NE 2nd Street, NE 4th Street and 106th Avenue NE.
This purchase is on the heels of the company’s continued expansion into the Eastside city. Just in July the company paid approximately $50MM to acquire a number of parcels in the vicinity of these four lots. One of the purchases was the $24,255,000 sale of two lots located at 435-437 108th Avenue NE, and the other was a parcel on the same block for which Vulcan paid $26 million.
As the heigh permits in the city may increase to 600 feet, the Seattle developer could bring as many as 800,000 square feet of office space. Vulcan’s Director of Real Estate Investment Strategy, Lori Mason Curran, stated that the development will bring retail on the ground floor as well as subterranean parking. She added that Vulcan is looking at options of bringing that space in one tower or possibly two towers of 20 stories each. This is all in planning stages at the moment, and no official projects have been submitted to the city.
No other specific information about Vulcan’s plans for the location were available at that time, but the accumulation of property in this very attractive corridor shows Vulcan is looking at the Bellevue submarket very seriously. When the company paid $45.35 million in May of 2016 to acquire its first Bellevue CBD location, the Bellevue Plaza, Ada M. Healey, vice president of real estate at Vulcan Inc. stated: “Bellevue is a major economic driver in the region, and is home to a growing number of residents and companies. Our purchase of Bellevue Plaza aligns with our focus on expanding our Pacific Northwest portfolio with value-add investments and urban infill projects.”