Complex Sale/Leaseback Transaction Nets Nordstrom Expansion

The simultaneous acquisition and lease of 1600 Seventh Avenue—a highly complex transaction awarded NAIOP Washington’s 2012 Deal of the Year award—represents one of the largest off-market acquisitions ever completed in Seattle.

Built by Pacific Northwest Bell in 1976, the 32-story office tower was occupied by CenturyLink (formerly Qwest), when the company decided that ownership no longer fit their business strategy. We stepped in, orchestrating a strategic, innovative deal with Clarion Partners to acquire the building and simultaneously lease a major portion to CenturyLink and negotiate a 300,000-square-foot lease with Seattle-based Nordstrom for nearly half of the building with options to accommodate future growth.

Significant renovation plans were critical to the deal’s success, including an updated lobby and common areas and underground parking. We worked closely with the team and the city of Seattle to expedite necessary approvals. New ground-level retail sets up a substantial downtown transformation, expanding Seattle’s retail core to the corner of Seventh and Olive.