Pioneer Square is a historic Downtown district that lies aboutone mile north of the company's headquarters. The properties are 83King St., a 204,500-sf turn-of-the century building where Starbucksalready leases around 60,000 sf, and 505 First Ave. S., a 36,000-sfsite that holds a 6,500-sf building, a surface parking lot and aparking garage and comes with entitlements for a 200,000-sfbuilding.

Both well leased, the properties are owned by principals ofMartin Smith Inc., a real estate investor, developer and propertymanager. The sale is expected to close later this spring, accordingto the Starbucks source. It's too early to say if a retail storewould be located at 83 King St., she adds.

Craig Kinzer and Amy Worthington of Seattle-based Kinzer RealEstate Services represent Starbucks in various non-retail realestate deals. The seller represented itself.