CENTRL Office has signed on to take over the former WeWork space at Capitol Hill’s Kelly-Springfield Building. The Portland-based creative workspace company will occupy 53,365 square feet across three floors. Kidder Mathews Vice President James Yalowitz represented CENTRL Office in the transaction, which closed this week. WeWork vacated the offices in February following bankruptcy and what the company described as “restructuring efforts.”
Located at 1525 11th Avenue in Seattle, Washington, the Kelly-Springfield Building is a designated landmark. The five-story building includes a shared rooftop, an open-floor office plan, and high industrial ceilings. It is a modern building with a historic façade. It was constructed in 1917 and served as REI’s first and only retail store for many years until the mid-90s.
In 2012, it gained notoriety as a Value Village when Seattle-born rapper Macklemore filmed his “Thrift Shop” music video there. The first floor of the five-story building is now home to Five Iron Golf, co-owned by the Seattle-born rapper.
Capitol Hill is one of Seattle’s most densely populated and desirable residential neighborhoods. With unmatched access to dining and entertainment, CENTRL Office will be at the epicenter of it all.
“The pandemic changed how people view work,” said Yalowitz. “The average office lease term in Seattle is five years, with many pre-pandemic (2019) leases rolling in this year. Most tenants in the current market are looking for shorter-term, flexible office space with access to transit, great food opportunities, and a place they can feel comfortable getting to and thriving at work. Capitol Hill is an underserved office submarket, and CENTRL Office will quickly become a top choice for tenants looking to move to a new, more exciting home.”
Unlike many larger global flex office providers experiencing contraction, CENTRL Office has built its business on being user-centric and focusing on customer service.
“In other cities, we are seeing many companies downsizing out of traditional leases. They want flexibility and the ability to expand or contract in the future. Not only do they need to have space that can change dynamically with their teams, they are looking for inspiring workplaces to attract and retain great talent,” said CENTRL Office co-founder Alex Hughes.
CENTRL Office will occupy the space under a management contract to operate it for the building owner, Legacy Companies. Their primary business is flexible private office space for individuals and large teams. Coworking space is a less significant part of their business. This will be their first location in the Puget Sound area, with plans to open in July 2024. It will offer private flexible offices, meeting rooms, and coworking for individuals and teams of 1-100+. Founded in 2015, CENTRL’s current locations are in Portland, Los Angeles, and Sacramento.
About Kidder Mathews
Kidder Mathews is the largest independent commercial real estate firm on the West Coast, with over 900 real estate professionals and staff in 19 offices in Washington, Oregon, California, Nevada, and Arizona. Kidder Mathews offers a complete range of brokerage, appraisal, asset services, consulting, and debt & equity finance services for all property types. The firm performs $10 billion in transactions, manages 51 million square feet of space, and conducts 2,600 appraisal, consulting, and cost segregation assignments annually (3-year average). For more information, visit kidder.com.
