Newmark arranges $127 million sale of downtown Seattle block with potential for life sciences redevelopment
April 27, 2022 09:00
Newmark announces that it has completed the $126.75 million sale of the Loyal Inn Block, a 1.6-acre redevelopment site located at 2300 Seventh Avenue North and 2301 Eighth Avenue in Seattle, Washington. The property was the subject of an off-market transaction that had multiple bidders from Clise Properties, Inc., a family-owned and operated Seattle real estate developer, to BioMed Realty, a leading life science development company . Newmark Co-Head of the United States Capital marketsKevin Shannon and Executive General Managers Ken White and Tim O’Keefe represented the seller in the transaction.
The parcel is bounded by Denny Way to the north, 8and Avenue northeast, Bell Street southeast, 7and Avenue to the southwest and Dexter Avenue to the west. The site is currently enhanced by a 91 key reception building which formerly housed The Loyal Inn, a 22,764 square foot office/retail building and parking facilities serving both properties. BioMed Realty’s redevelopment plans include a state-of-the-art life science facility.
“This site has generated immense investor interest due to its prime location, significant size and lucrative opportunity to capture unmet demand for life science facilities,” Shannon said.
The property is directly adjacent to scenic Denny Park in Seattle’s Denny Regrade submarket, just steps from Amazon’s global headquarters. In addition to Amazon, the region is surrounded by economic and life sciences demand drivers, including Fred Hutchinson Cancer Research Center, Seattle Cancer Alliance, Swedish Hospital, Virginia Mason, Lake Union, University of Washington, Seattle University, PATH, Microsoft, Boeing, and the Melinda and Bill Gates Foundation. The location also provides easy access to the many shops, restaurants and entertainment of downtown Seattle.
“With the abundance of technology and life science demand drivers in Seattle, the region has a large and growing need for additional life science facilities,” O’Keefe said. “We look forward to seeing BioMed’s development plans unfold.”
According to a study by Newmark Research. The dry powder abundance of funds and fundraising activity along with the continued disruption of property types such as hospitality and conventional offices fueled the capital increase in life science real estate . This trend, combined with 2022 shipments of newly developed and refurbished life sciences products in major markets with limited supply, is expected to keep life sciences investments at higher levels compared to pre-pandemic years.
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a global leader in commercial real estate, seamlessly powering every phase of the property lifecycle. Newmark’s full range of services and products are uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue chip enterprises. Combining the platform’s global reach with market intelligence in established and emerging real estate markets, Newmark delivers superior service to clients across all industries. Newmark generated revenues of more than $2.9 billion for the year ending December 31, 2021. Newmark’s corporate-owned offices, along with its business partners, operate from approximately 160 offices with more than 6,200 professionals worldwide. To learn more, visit nmrk.com or follow @newmark.
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