Redmond's Overlake East Center Sold for $41 Million

It was announced last week that Redmond’s Overlake East Center sold for $41 million to a San Francisco-based investment firm. Spread out over 90,235 square feet, the complex is located only a mile from Microsoft headquarters and in close proximity of the proposed Overlake Village light-rail station.

Investors are keen to see this property used as a mixed-use facility, but redevelopment wouldn’t begin for an extended period of time, between seven to ten years. Real estate investors don’t anticipate this sale to affect local businesses in the immediate future since about 93 percent of the center’s retail space is already leased.

In late June, I covered Microsoft’s plans to expand their Redmond headquarters with a multi-billion-dollar renovation. The project is expected to be complete around the same time as the Redmond light-rail station, scheduled for 2023. Microsoft plans to add 2.5 million square feet of office space, accommodating 8,000 more employees. As both of these projects unfold, we expect to keep eyes on how it will affect the local real estate market.