One Twelfth @ Twelfth Fetches $284 Per SF

BELLEVUE, WA-Chicago-based Hines has sold its 480,000-sf One Twelfth @ Twelfth class A office development here to Iowa-based Principal Real Estate Investors, a division of Principal Global Investors and a member of the Principal Financial Group. Hines did not reveal the sale price in its announcement, but a company source tells GlobeSt.com it sold for about $136.5 million. The three-building CBD complex is 95% leased, according to the announcement.Completed in 2001, the project was initially financed by the Hines U.S. Office Development Fund. It was designed by MulvannyG2 Architects, a major tenant in the project.  Other tenants include Nortel Networks, Onyx Software, CH2M Hill, IndyMac Bank, Overlake Hospital, Hacker Group and Foundation Bank. The development is located in the Bellevue CBD at the corner of 112th Avenue Northeast and 12th Street. Annual rental rates at the property range from $14-$16.50 per sf. Hines, which owns and manages 2.5 million sf in the greater Seattle area, has been retained by the new owner to continue as property manager.Hines first entered the Washington market in 1981 with the development of Seafirst Fifth Avenue Plaza in Seattle, and Seafirst Financial Center in Spokane. In 1999, the firm developed Cedar Court, a four-building, campus-style office complex in Redmond, which is near Bellevue. After One Twelfth @ Twelfth in 2001, Hines developed the 40-story IDX Tower at Fourth Avenue and Madison Street in downtown Seattle in 2002.