BGO JV Secures Refi for Seattle Office Tower
BentallGreenOak and Urban Renaissance Group LLC have secured a refinancing loan for Plaza 600, a 209,256-square-foot office building in downtown Seattle. The ownership secured a committed capital of over $10 million and will reposition the property.
Urban Renaissance Group has owned Plaza 600 since 2012, when it acquired the property from The Vance Corp. for $54.8 million, with the help of a 10-year $68.9 million loan originated by CIBC Bank USA. URG recapitalized the tower in partnership with BGO in 2019.
Completed in 1969, the office building at 600 Stewart St. rises 20 stories and features 5,063 square feet of retail space. The property underwent renovations multiple times, with the latest completed in 2023. These last upgrades focused on the main lobby area, as well as the amenity spaces, adding a bike room with showers and a conference center for the tenants. The building’s roster comprises Regus, Hoffman Construction Co., Washington Council for Behavioral Health, MBI Seattle and HKM Employment Attorneys LLP.
JLL Managing Director Cleita Harvey, Director Tim Jones and Associate Broker Charlotte Evans are handling leasing at the property.
A well-positioned property in downtown Seattle
Plaza 600 is between the Retail Core and the South Lake Union neighborhood. The Amazon Headquarters campus and The Spheres corporate offices are adjacent to the property. The office tower is near metro, bus and light rail stops, as well as Interstate 5. Plaza 600 also holds a walk score of 100.
The office sector is still struggling, with the national vacancy rate hitting 19.4 percent at the end of October, up 160 basis points year-over-year, according to a recent CommercialEdge report. Tech markets hold the highest rates, including Seattle, which registered a 390-basis-point jump since October 2023, hitting a 25.8 percent vacancy rate.
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