Belltown Multifamily/Hotel Redevelopment
For Sale
$3,800,000
2200 1st Avenue, Seattle, WA 98121
Value-add investment near Pike Place Market with redevelopment potential.
Property Size8,330 SF
Price / SF$456.18
Days on Market271
Property Features for 2200 1st Avenue
General Information
Standard status
Active
Size
8,330 SF
Property subtype
Retail
Building Details
Year Built
1910
Listing Agency:
NAI Puget Sound Properties
(206) 660-8768
Listed By:
Wyk Parker · License #873009985
Source:
Naiglobal
Added: Nov 22, 2025
Changed: Jul 6
Last Checked: Aug 20 at 5:59AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of NAI Puget Sound Properties
Investment Insights
Based on property information with market context.
Located in the heart of the Belltown neighborhood, three blocks north of Pike Place Market, this property presents a value-add investment opportunity. The existing three-story building, with a gross square footage of 9,990, offers versatility as either multifamily residential units or a hotel. The building contains 13 living units, each equipped with a private kitchen and bathroom. The street-level retail space is currently occupied by a convenience store but could be converted into a hotel lobby or other use. The lower level includes shared laundry services, storage closets, a utility room, and a small shop area. The property also features 9 on-site surface parking stalls. The building is a charming brick structure that underwent a near-full renovation in 1980 and has a newer roof. Situated at the corner of 1st Avenue and Blanchard Street, the property benefits from a highly visible corner location. Its proximity to the redesigned Seattle Waterfront, Pike Place Market, the Seattle Center, and the Space Needle enhances its appeal. The property maintains significant utility with existing improvements and offers strong potential for high-rise zoned redevelopment in the near or long term. The property size is 8,330 square feet.
Key Highlights
- High‑rise development site with existing multifamily/hotel building and street‑level commercial space.
- Prime Belltown location: just 3 blocks from Pike Place Market and 4 blocks from the new Seattle Waterfront.
- Versatile building: can be used as multifamily residential or converted to a hotel.
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$140,592
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.70%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$2,811,840
$2.8M
Cap Rate 7%
$2,008,457
$2.0M
Cap Rate 9%
$1,562,133
$1.6M
Market Conditions
NOI Build-Up for 8,330 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$264.9K $31.80/SF
− Vacancy
−$9.3K −$1.11/SF
EGI
$255.6K $30.69/SF
− OpEx
−$115.0K −$13.81/SF
NOI
$140.6K $16.88/SF
Area
Seattle, WA
Vacancy
3.50%
Lease Rate
$31.80 /SF/Yr
Expense Ratio
45.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$2,811,840
Cap Rate 7%
$2,008,457
Cap Rate 9%
$1,562,133
Alternative Uses
Best Use
Apartment 5plus
$2.01M
$1.76M – $2.34M
NOI $140,592 @ 7.0% cap · market cap 3.70%
Second Best
Retail
$1.77M
$1.55M – $2.07M
NOI $124,207 @ 7.0% cap · market cap 3.27%
Theoretical Best
Office A
$2.51M
$2.19M – $2.92M
NOI $175,427 @ 7.0% cap · market cap 4.62%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,443
Businesses Nearby
Explore this area
Business Placement
Demographics for 98121, WA
21,411
Population
15,781
Households
1.4
Avg Household Size
35
Median Age
78%
College-Educated
98%
High-School Grad
0.4 sq mi
ZIP Area
53,528
Density / Sq Mi
$148,974
Median Household Income
$118,893
Median Earnings
$2,329
Median Rent
$796,600
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Value-add investment near Pike Place Market with redevelopment potential.
Where is this retail space located?
The property is located at 2200 1st Avenue Seattle, WA.
What is the asking price?
The asking price for this property is $3,800,000.
What are key features of this property?
This property features: High‑rise development site with existing multifamily/hotel building and street‑level commercial space.; Prime Belltown location: just 3 blocks from Pike Place Market and 4 blocks from the new Seattle Waterfront.; Versatile building: can be used as multifamily residential or converted to a hotel.
