A
private investor has acquired the historic Colman Building in Seattle's Pioneer Square for $9.5 million, significantly less than its previous sale price six years ago. The 144,000-square-foot building at 811 First Avenue was sold by Unico Properties to a limited liability company led by Jay Bhullar through a receiver sale.

    The purchase price works out to $66 per square foot, a substantial discount from the $257 per square foot Unico paid in 2019. The Colman Building, a six-story landmark built in 1889, was previously assessed at $37.9 million and had traded for $37 million just five years ago.

    The new owner plans to rent out the vacant ground-level shops and offices above, which have been empty since several businesses pulled out during the pandemic. Make-A-Wish Alaska and Washington, an office tenant in the building, is optimistic about Bhullar's plan to revitalize the property.

    Unico had previously planned to convert the offices into homes but abandoned the project due to rising construction costs. The company had also defaulted on a $22.4 million interest-only loan secured by the Colman Building. Brokers from Kidder Mathews represented the court-appointed receiver in the sale, which represents a 74% discount from the building's previous transaction price.