For anyone with a 75-year project in downtown Bellevue, the Neumann family has a high-profile corner they're offering for lease.
Known as the Kaylen parcel, the quarter-block property is currently occupied by a 40,000 sq. ft. retail building and 52 parking spaces. Lying across the street from Bellevue Square, it's the only "undeveloped" property at Bellevue Way and NE 108th. (Rounding out the intersection are Lincoln Square and Bellevue Place, two prestigious mixed-use developments.)
The broker, Century Pacific LLC hasn't provided a price for the ground lease, but the rule of thumb is that a lease should run between 8 and 9 percent of the value of the land. Most of the Kemper Development projects are all on leased ground. Kemper president Jim Melby told Puget Sound Business Journal that he's aware of the listing, which would complement Kemper's existing 1.1 million sq. ft. of holdings in downtown Bellevue, but declined to provide additional comment.
The parcel has been in the hands of the Neumann family since the mid-1930s, when Cameron "Kay" Neumann located his Kay Lumber Company on the site. It's currently occupied by several retailers (a Cost Plus, a Sleep Country, a jewelry store, a bank) but is zoned for high-rise residential or commercial development.
-- Ronald Holden