1001 Fifth Avenue Retail Finding Takers Following Remodel

PORTLAND-The 10,000-sf of street-level retail in 1001 Fifth Avenue Building is filling back up following a $2.2-million public-areas remodel by owner Equity Office Properties Trust. About 3,500 sf of retail remains to be leased, but Dave Demers of CB Richard Ellis, who works on retail leasing for the project, tells GlobeSt.com letters of intent have been received for much of the remaining space.

Existing tenants include the 6,000 sf Congress Cafe and Seattle Coffee Co., which decided to concurrently upgrade its image by shutting down its Seattle’s Best Coffee store and re-opening under the banner of its higher-end subsidiary Torrefazione. It is the fifth branded café for Torrefazione, which will begin a franchising effort in 2002.

In the signed-but-not-yet-sealed-and-delivered pile is a 1,000-sf eatery, a sundry shop and a hair salon, all of which have signed letters of intent, says Demers. Two small deals with a drycleaner “drop shop” and maybe a florist would fill things out. “Whatever is not taken, the landlord anticipates using as a fitness center for tenants,” he says.

Yost Grube Hall designed the public-areas remodel for EOP and Baugh Construction was the general contractor that carried out the work. Although it has not yet been announced, the new look for the 361,143-sf office tower will be followed by a new name: Congress Center.

As for the building’s office space, about 71,000 sf remains available, but one of the office brokers with the leasing assignment, CBRE’s Tom Felman, says “we are about ready to announce some deals.”

Office asking rates range from $19.50 per sf to $24.95 per sf, depending on whether it is direct space or sublease space and where it’s located in the building. The asking rate for retail space is $19.00 per sf, including insurance and property taxes, but excluding utilities.

1001 Fifth Avenue was one of EOP’s lone Portland holdings until the recently completed $7.3-billion merger with Spieker Properties instantly made the Chicago-based company the largest class A office building owner in greater Portland and several other West Coast markets.

In Portland’s Central Business District, EOP now owns three office buildings totaling about 875,000 sf. In addition to 1001 Fifth Avenue, EOP now owns the 269,091-sf Benjamin Franklin Plaza at 1 SW Columbia and the 229,510-sf One Pacific Square at 220 NW Second Ave.