A New Micro-Neighborhood

There is a part of Downtown Seattle that, until recently, was essentially just made up of the infamous Re-Bar nightclub, Kremworks club, Met office buildings, the Corn Beef deli, and a copious amount of parking lots. It is often referred to as the Denny Triangle, but in my opinion, it is developing into a micro-neighborhood of its own. Until recently, there was nothing in the area, so lumping it in with the Denny Triangle made sense because people would overlook it or not even realize it was there.

The East Denny Triangle (EDT) micro-neighborhood, as I call it, is shown in this map. The Denny Triangle is outlined in the black, and the EDT outlined in the red triangle.

Here is a zoomed-in version of the EDT, the red triangle in the above photo. The boxed areas are all locations since 2015 that have either been built (red) or in the process of currently being built (blue). Green is a proposed development.

It is incredible to think that within approximately an area of about four by four blocks, there are thirteen lots either developed or actively getting developed since 2015. I spent some time adding up all the housing units, and it comes to over 3,332 housing units being built in the EDT area. The EDT was an area where there were hardly any major apartment or condo buildings until about 2017. Of the roughly 3,332 housing units being built, only about 1,100 have been built. That means that we are expecting over 2000 more housing units to be added to the EDT by late-2021 when some of the other projects, like the West Bank building, on Denny, are expected to complete.

Here is a breakdown of housing:

Condos for Sale:

  • NEXUS – 387

Apartments for Rent:

  • West Bank Development – 1041

  • AMLI ARC – 368

  • Kinetics Apartments – 357

  • Onni Apartments – 1179

Total Number of Apartments (2945) and Condos (387): 3,332

Not only is housing moving into the neighborhood, but the PNW’s largest hotel is built just outside the EDT in addition to two new hotels. I am referencing the Hyatt Regency, Marriott SLU/Downtown, and Hilton Garden Inn. Combined, they add 1,784 hotel rooms in just two blocks. These multi-million dollar hotels didn’t sprout up on Howell Street by accident. They were built well ahead of time for one of the biggest catalysts for Seattle’s future growth, the Washington State Convention Center Expansion. If you have not read my blog on it, I recommend it. I go into further detail about the expansion and why it will have the impact it will. LINK HERE.

Hotel Breakdown:

Hyatt – 1260

Marriot – 302

Hilton – 222

Total Number of Hotel Rooms: 1,784

The 1.8 billion dollar expansion is expected to generate about $200 million per year in out-of-state visitor spending and $60 million per year in spending from Washington residents. These hotels are preparing for the eventual expansion and all the conference and concert-goers at the convention center for years to come. This is not even counting the domino effect of new businesses and restaurants who will inevitably move into the neighborhood with all the new infrastructure.

Growth

So let’s take a step back now, since 2015 through 2022, there are 13 active large scale projects, resulting in over 3,300 in housing, 1784 hotel rooms, 1.5 million-square-foot expansion of the Convention Center. The one amenity the EDT is missing is a grocery store. Fortunately, Amazon Go is opening up in the neighborhood in the base of the Seattle Children’s Hospital Cure Building, and the hotly anticipated Trader Joes is opening up at the bottom of the West Bank Building (1200 Stewart St).

As I mentioned at the start of this blog, the EDT is the last part of downtown Seattle to be developed into its own micro-neighborhood similar to the likes of Belltown, Westlake, South Lake Union, Financial District, Pioneer Square, and Pike Place Market. Given that there is so much growth actively happening, I firmly believe that property values in and around the EDT will appreciate at a higher rate when compared to other downtown micro-neighborhoods. Specifically, in the long term, the NEXUS condo building is poised to appreciate at the highest rate among condos in the neighborhood. This is because it is at the center of the EDT and the newest, most high-tech, high-rise condo in the area. In a few years, newly finished buildings like the West Bank project and Onni buildings, which are projected as apartments for rent right now, will only push rents and values higher in the long run. That said, their completion will add to the neighborhood commerce, which will raise home values in condominiums as local infrastructure benefits from the investments and spending by residents.

There are a number of condos in NEXUS currently for sale. If you would like to tour the building send me a message. I would be happy to show you the building!

© 2015 by Cyrus Fiene, Coldwell Banker Bain