Bel-Red TOD

CHALLENGE:

The site, situated in the emerging Bellevue-Redmond Corridor, was a prime candidate for redevelopment. However, several challenges threatened the sale’s success. The seller sought a price well beyond any comparable sales and a restrictive use easement meant development could not commence for four years, requiring a buyer willing to pay for the site’s future value. Additionally, the city of Bellevue aimed to daylight a creek through the center of the property, adding environmental and entitlement complexity.

WHAT WE DID:

Recognizing the high stakes, we broadly marketed the property to local, regional, and national apartment developers. We crafted a compelling value thesis focused on the site’s proximity to a future light rail station, drawing parallels to successful transit-oriented developments like those in the Bay Area. Our marketing attracted a national apartment developer whose vision aligned with the property’s long-term potential. Through careful negotiation, we secured a price based on the future value of the site, achieving our client pricing goals, and structured a robust contract that safeguarded the long transaction timeline.

RESULT:

The closing of the sale occurred at the contract price and closing date, despite the fact that the transaction’s closing was scheduled for weeks after the initial COVID-19 outbreak. This positive outcome for the seller underscores the importance of expert representation in realizing the full potential of long-term investments.