Indeed Inks Mega-Floor Lease at 2+U

SEATTLE—After topping off last month, 2+U now has its first tenant. Indeed will lease approximately 200,000 square feet on 10 contiguous floors in the 38-story 686,000-square-foot class-A office tower.

Skanska is developing the project in one of the most desired locations in the central business district with a slated completion of July 2019.

“It’s essentially a Main and Main address for Seattle, near Pike’s Place market,” Murphy McCullough, executive vice president and head of commercial development operations in the Greater Seattle region for Skanska, tells GlobeSt.com. “There is no other land like it in Seattle. We wish there was because we would buy it.”

Located at the corner of Second Avenue and University Street, the building is adjacent to Seattle Art Museum and Benaroya Hall, and just steps from the new waterfront. The first office space starts at level seven. On the floors below, there is room for arts and cultural space. In fact, the building will include space for rent to artists, in addition to multiple tenant conference and event spaces.

2+U is lifted 85 feet off the ground at the highest point to create an outdoor urban village situated under the building. The urban village includes nearly a half-acre of open space designed for gathering and connecting tenants, neighbors and visitors with nearly 17,000 square feet of local retail, and arts and cultural space.

The building will have 18,000- to 30,000-square-foot floorplates with an offset core, providing flexible and versatile floorplates. And, a private tenant rooftop deck will have unobstructed views of the Puget Sound and Olympic Mountains.

There will be direct commuter access from the highway or to public transportation, including bus, light rail and ferries, along with parking, valet service and EV charging stations, and a bike program with secure storage for approximate 360 bikes, along with EV bike charging stations and repair stations.

Tenants will have access to fitness and wellness space including shower and sauna facilities. The building will have high-touch concierge-style property management and digital interface.

Skanska engaged community stakeholders in the planning stages of the project to create a building that adds immediate value to the tenants and the surrounding community. Through its thoughtful design, 2+U becomes a connection linking the new waterfront, Pioneer Square and surrounding downtown neighborhoods.

“We are honored to welcome worldwide industry leader Indeed as the first tenant at 2+U. With this lease, our original vision for the project, to create an office and retail experience that is attractive to a diverse mix of tenants and business sectors, is now a reality. Indeed is exactly the type of tenant we imagined would make the most of what 2+U offers, from the urban retail village to the outstanding views,” said McCullough. “The experience we created at 2+U will help Indeed attract and retain top talent in this highly competitive market.”

There are nine major speculative office projects underway in the region, according to Kidder Mathews’ third quarter office report. Six are in Seattle and collectively contain 2.5 million square feet. Of this amount, 871,022 square feet or 35%, is pre-leased.

Some of the more notable Seattle construction projects in addition to the 2+U are Kilroy’s 333 Dexter Building at 638,817 square feet and the 58-story Rainier Square building at 722,000 square feet being built by Wright Runstad (fully pre-leased by Amazon). In the Eastside market, the speculative Kirkland Urban project of 660,000 square feet is 34% pre-leased with the uncommitted space receiving strong attention.

The Spring District Block 16 project in Bellevue at 327,570 square feet is also underway. The only other major speculative project outside of the Seattle and Eastside markets is the 688,147-square-foot Southport Office Campus in Renton. For the region as a whole, the 13 major office buildings under construction in the region collectively will add slightly more than 6.6 million square feet of new office supply. Of this amount, 53% had been pre-leased as of third quarter, says Kidder Mathews.