Case Study: Northpark – Bellevue, WA

In 2020, we acquired Northpark, a 29,754 SF office building strategically positioned as a gateway to Bellevue’s Spring District. At acquisition, the property presented significant vacancy and repositioning challenges. Through targeted leasing efforts, asset management, and strategic upgrades, we achieved 100% occupancy within three years, producing positive cash flow and a projected substantial increase in asset value.

INVESTMENT SNAPSHOT

Phase: On Going

Location: Bellevue

Property Type: Office

Size: 29754

Acquisition Date: 2020

Purchase Price: 8000000

Equity Raised:  $2,050,000

Sale Price:  $13,000,000

Sale Date: n/a

Strategy: Opportunistic

IRR: 33.22% (Projected?)

Multiple: 3.15

Cash on Cash: 0.00%

INVESTMENT THESIS

Location Advantage: Situated immediately adjacent to the Spring District—Bellevue’s rapidly expanding mixed-use tech hub—Northpark benefits from direct visibility, accessibility, and strong tenant demand.

Hands-On Repositioning: At acquisition, significant vacancy presented a challenge and opportunity. Through active leasing, marketing, and selective property improvements, occupancy was driven to 100% over a three-year stabilization period.

Strategic Ownership: The building serves a dual role as both a cash-generating asset and the headquarters for our management operations, creating synergy, control, and operating efficiencies.

Value Creation: The combination of full lease-up, market rent adjustments, and improved building performance has increased the projected valuation to $13,000,000, significantly exceeding initial underwriting expectations.

CURRENT STATUS

Operational Excellence: Northpark is now fully leased, stabilized, and producing positive net operating income.

Market Dynamics: The continued growth of the Spring District and Bellevue’s eastside commercial market enhances long-term value and strategic optionality.

Exit Potential: Future options include a strategic sale into a core-plus buyer pool or refinancing to return capital while retaining ownership in a prime eastside office asset.