January 8, 2019

Neighbours nightclub on Capitol Hill now on market for $7M

Photo by NAI Puget Sound Properties [enlarge]

NAI says that the nightclub could continue to operate or be replaced with retail or housing. The city is considering an upzone from 65 to 75 feet.

With Seattle City Council now considering a city-wide upzone that emphasizes density in urban villages, more old low-rise commercial properties are coming to market.

Yet another example: The century-old Neighbours nightclub building, at 1509 Broadway, which has been listed at $6.9 million for about three weeks.

The midblock property, between East Pike and East Pine streets, is being offered by Itzik Mizrahi and Wyk Parker of NAI Puget Sound Properties. It totals 7,604 square feet.

The property last traded in 2013 for $2.5 million, selling to an LLC related to the Elassiouti family, which owns the nightclub. The nightclub was founded in 1983.

NAI says that the property could be a turnkey nightclub sale, new retail, or a mixed-use redevelopment with apartments. The site is now zoned for construction up to 65 feet, but that height will likely rise to 75 feet following an anticipated March council vote.

The building's basement level is currently vacant and could be leased, according to NAI. The one-story building and basement total 14,400 square feet.

The building has been renovated since two relatively minor arson attacks in 2014 and 2015, after which the entrance was moved from the alley to Broadway.

Broadway, along with the Pike-Pine corridor, is rapidly changing with more new development. Capitol Hill Station is a few blocks north, and the new streetcar line also runs directly in front of Neighbours.

Immediately north of Neighbours, Capitol Hill Housing will develop 78 affordable units plus retail at 1523 Broadway. The seven-story Eldridge, designed by Mithun, will preserve the landmarked 1925 Spanish mission-style Eldridge Tire Co. building.

Immediately south, on the corner of Pike, is a two-story commercial building now leased to Starbucks.