* Capitol Hill is a neighborhood in Seattle, Washington, known for its vibrant nightlife and diverse culinary scene. * Charlie’s, a former Broadway joint, is being renovated and will soon be a highly sought-after restaurant. * The neighborhood is experiencing a surge in popularity, attracting both locals and tourists alike.
The industry report calls the two-acre shopping center at the corner of Pike and Broadway a “generational asset” thanks in part to its place in the Capitol Hill core, “high barriers to entry, and strong long-term rental growth.” The market for the property is uncertain but Capitol Hill shopping centers have traded with some regularity over recent years. There has been a new wave of activity around the Melrose Market after the development’s 2019 purchase by Regency Centers for $15.5 million. The same real estate investment trust acquired the Broadway Market shopping center for $43 million in 2015. The Harvard Market listing comes at interesting time for the shopping center’s local ownership group that acquired the property in 2008 for $17 million. Calculating for inflation, they would pretty much be breaking even.
The property anchored by one of two Broadway QFC supermarkets is at the heart of District 3 representative Joy Hollingsworth’s plan for a new Capitol Hill “Stay out of Drug Area” to combat street disorder and drug use across the neighborhood’s core. Broadway at Pike’s street disorder issues loom large. This summer, the city identified the area as it made the list — twice — for Seattle’s top areas for Crime and Overdose Concentration according to the Seattle Police Department. The market could also soon be facing major changes with its largest tenant. CHS reported here in July on the appearance of both Capitol Hill QFC grocery stores on the roster of “Planned Divestiture Store, Distribution Center, and Plant Locations” as industry giants Kroger and Albertsons have promised to shed hundreds of locations as they work toward a $25 billion merger.
As regulators sue to block the merger, $1.9 billion sale would include 579 stores across the country including 124 in Washington to be acquired by C&S, owner of the Piggly Wiggly brand that was once a staple on Capitol Hill and across the city. Harvard Market was built in the 1990s by Vancouver B.C.-based Milliken Development and includes both commercial and residential condominium units surrounding a massive surface and underground parking structure. According to county records, the joint venture formed to develop the property sold off portions of the development for around $23.5 million over two years beginning in 1997.
That same year, the City of Seattle allowed the opening of a Burger King on the upper level of the development despite opposition from the community. Nineteen letters were sent into city planners about a change of use application required to allow the fast food restaurant — all of them in opposition to approval based on concerns around traffic, litter and smell. The city approved the change with conditions and Burger King moved in. More than 30 years later, Harvard Market has been shedding some of its largest tenants. In July, CHS reported on the latest as the block’s AT&T store shuttered. Morris Groberman, part of the shopping center’s current ownership, told CHS that AT&T holds a lease into 2025 for the E Pike fronting suite and that the shopping center “can’t touch it” without foregoing the guaranteed rent.
This plan, according to Groberman, is part of a larger strategy to revitalize the center. The goal is to attract new businesses and create a more vibrant and dynamic environment. The revitalization plan is expected to be completed by the end of 2023. The plan is being implemented by a team of professionals, including architects, engineers, and developers. The revitalization plan is expected to create jobs and boost the local economy.
* The property is a 2-story, 3-bedroom, 2-bathroom home located in a quiet neighborhood. * The property is currently listed for sale at $450,000. * The property has been on the market for a few weeks.
