BELLEVUE, WA-Kilroy Realty Corp. of Los Angeles has acquired the 488,000-square-foot Key Center office project, an 88%-occupied property on a long-term ground lease, for $215 million. The L.A.-based REIT did not name the seller, but other sources said it was Boston-based Beacon Capital Partners.
The Key Center, at 601 108th Ave. NE, is a 22-story tower that was completed in 2001 and was LEED Gold certified in 2009. Rents at the building range from $24 to $29.85 per square foot per month, NNN, according to a Beacon Capital brochure, which projected 2011 operating expenses at $9.65 per rentable square foot. Major tenants include Keybank, InfoSpace, FM Global, Merrill Lynch and UBS Financial.
The project includes six levels of underground parking with nearly 800 spaces. Building amentities include an ATM, a Starbucks, a full service bank other service retail shops, outdoor plazas and atriums for meetings. In addition, it is near fitness, child care and other facilities.
The building is located on the pedestrian corridor linking it to local recreation, hotels, movie theaters, restaurants and retail centers such as Bellevue Square and Bellevue Galleria, notes the Beacon brochure.
Kilroy described the acquisition as in line with its strategy of "acquiring high-quality, well-located properties that provide both strong near-term cash flows and attractive long-term appreciation potential at below replacement cost prices." The sale was brokered by Eastdil Secured, according to industry sources.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
