Bravern towers for sale — again
Class A space last changed hands two years ago in one of the biggest deals of the year.
Seattle Times business reporter
Downtown Bellevue’s Bravern office towers are for sale — again.
Principal Real Estate Investors, the real-estate arm of insurance giant Principal Financial, bought the two towers two years ago for $410 million.
Now it’s seeking a buyer for anywhere from 49 to 100 percent of the 750,000-square-foot project, according to an offering brochure circulated by brokerage CBRE.
The Bravern towers join a growing list of Seattle-area office properties whose owners have put them up for sale recently, seeking to capitalize on institutional investors’ willingness to pay top dollar for top-end, well-leased buildings..
That list includes the 1.8 million-square-foot Amazon.com headquarters complex in South Lake Union, the 1201 Third and West 8th towers in downtown Seattle, and 7th & Madison on First Hill.
The Bravern towers are 100 percent leased to Microsoft. The listing also includes a 3,100-stall underground parking garage.
The offering “doesn’t surprise me in the least,” said Gary Guenther, a senior vice president in brokerage Kidder Mathews’ Bellevue office. “It’s striking while the iron’s hot.
“There’s a lot of money out there, and there’s tremendous demand for Class A core office properties in downtown Bellevue.”
The Bravern office towers, 23 and 13 stories, stand on the south side of Northeast Eighth Street just off Interstate 405. They are part of The Bravern mixed-use complex, developed by Schnitzer West of Seattle, that includes a luxury shopping mall and two apartment towers.
Schnitzer now owns only the apartments. When it sold the office towers and garage to Principal in 2010, the transaction was the eighth-largest deal in the Western Hemisphere that year, according to commercial real-estate research firm Real Capital Analytics.
The listing broker now is the same broker who represented Schnitzer then — CBRE Vice Chairman Kevin Shannon, who specializes in investment sales and has been involved in a number of big Seattle commercial real-estate deals recently. He did not return a call Thursday.
The offering brochure also says buyers can assume Principal’s $205-million, interest-only loan on the towers that matures in 2021.
Eric Pryne: email@example.com or 206-464-2231