$129.3 million sale of core Class A mixed-use property in Seattle’s South Lake Union submarket sold by HFF
PORTLAND, OR – Holliday Fenoglio Fowler, L.P. (HFF) announced today that it has closed the sale of Alley24, a 215,402-square-foot, core Class A office building with ground floor retail in Seattle’s South Lake Union submarket.
HFF marketed the property on behalf of the sellers, Vulcan, Inc. and PEMCO Insurance Co. MetLife purchased the asset for $129.3 million and assumed an existing life insurance company loan.
Alley24 is located at 221 Yale Avenue North in South Lake Union, Seattle’s epicenter of industry and innovation and one of the first LEED Certified green neighborhood plans in the nation boasting a Walk Score® Index of 95. Completed in 2006, the property was one of Seattle’s first mixed-use projects to earn LEED certification and features sustainable elements such as abundant natural daylight, operable windows, low energy and water flow fixtures, automatic sun-tracking sun shades and environmentally sensitive building materials. The 85-percent-leased property serves as the corporate headquarters for architectural firm NBBJ. Additional tenants include Skanska and Cole & Weber. Alley24 offers tenants two roof decks, operable windows with sun-tracking shades, flexible floor plans, and ground floor retail.
The HFF investment sales team representing the sellers was led by senior managing directors Todd Tydlaska, Nick Kucha and Michael Leggett, who is the co-head of HFF’s West Coast team.
According to Tydlaska, “Alley24 is one of the only true mixed-use assets in the South Lake Union submarket, a centrally-located, high-amenity, pedestrian-oriented location that has maintained historical occupancy of more than 96 percent since it was completed. Most significantly, banner tenants NBBJ, Skanksa and Cole & Weber have occupied the building since it was delivered in 2006.”
Kucha added, “The opportunity to acquire a core asset in South Lake Union attracted domestic as well as foreign capital and we were pleased to have a deep buyer pool for this asset.”
About Vulcan, Inc.
Headquartered in Seattle, Vulcan Inc. is a company founded in 1986 by investor and philanthropist Paul Allen. The company oversees various business and charitable projects including real estate holdings, investments in companies, including the Seattle Seahawks, Portland Trail Blazers and Seattle Sounders franchises, First & Goal Inc., the Seattle Cinerama theatre, EMP Museum, the Science Fiction Museum & Hall of Fame, the Allen Institute for Brain Science, the Allen Institute for Cell Science, the Allen Institute for Artificial Intelligence and The Paul G. Allen Family Foundation.
About PEMCO Insurance
PEMCO Insurance is an American personal-lines mutual insurance company based in Seattle, Washington. The firm was founded in 1949 and today is the Northwest’s largest local personal-lines insurer providing auto, home, boat, life and umbrella coverage to the general public.
MetLife, Inc. (NYSE: MET), through its subsidiaries and affiliates (MetLife), is one of the largest life insurance companies in the world. Founded in 1868, MetLife is a global provider of life insurance, annuities, employee benefits and asset management. Serving approximately 100 million customers, MetLife has operations in nearly 50 countries and holds leading market positions in the United States, Japan, Latin America, Asia, Europe and the Middle East. For more information, visitwww.metlife.com.
HFF and HFFS (HFF Securities L.P.) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 22 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit hfflp.com or follow HFF on Twitter @HFF.