Bellevue skyline sets to change as developers look for opportunities to build in a space constrained market
The Seattle-Bellevue office market experienced yet another year of increasing rental rates.
- The Seattle-Bellevue office market experienced yet another year of increasing rental rates driven by low availability and strong office demand. Asking rates continue to climb to record highs and developers are looking to cater to the increased demand.
- With few CBD office buildings currently under construction that have availability, the biggest potential relief for the market lies on the Eastside where a number of developers are pursuing large scale office projects.
- In the Seattle CBD, there are just two speculative office projects (2&U and Rainier Square) currently under construction. The majority of space across these two buildings is spoken for. Aside from those two developments, just 1.3 million square feet of office product has been proposed for development in the Seattle CBD.
- Conversely, in the Bellevue CBD there are currently no projects under construction. With that said, a number of developers have proposed office developments. These proposals total roughly 6.6 million square feet, which equates to nearly 70 percent of the current Bellevue CBD office inventory.
- While these proposed developments won’t deliver till at least 2022, the Bellevue skyline is set to see some major changes in the coming years.
Source: JLL Research