Unico Sells Seattles Iconic Smith Tower to Goldman Sachs
The deal is part of a 27-building sale in Seattle and Denver.
By Rob Smith January 18, 2019
Unico Properties has sold Seattles historic Smith Tower to Goldman Sachs affiliate Broad Street Principal Investments LLC.
The sale is part of a 27-building portfolio deal in Seattle and Denver — totaling 1.8 million square feet for $710 million.
Other Seattle buildings involved in the sale are the Yale + Thomas building in South Lake Union, which was formerly the PEMCO building; 1505 Fifth Avenue in downtown; and the three-building Grand Central Block and Butler Garage in Pioneer Square.
The 42-story Smith Tower, built in 1914, was the first skyscraper in Seattle and for years was the tallest building west of the Mississippi River. Unico bought the 462-foot-tall building, 506 Second Avenue, four years ago for $73.7 million and remodeled it, opening a restaurant and bar and launching a tour program for visitors. It is 93 percent occupied.
Today, there are at least 15 taller buildings in the city, according to HistoryLink.org.
Unico, a Seattle-based private equity commercial real estate firm, said the portfolio is 85 percent leased. The company will retain a stake in the portfolio and will continue to manage and operate it on behalf of the new partnership.
The transaction represents the conclusion of the Unico Partners I fund, which closed in 2014 after raising $265 million in equity.