Bainbridge Pavilion property up for sale Asking price is $14.9 million for 3-acre site with established retail base, room to build housing project
Tim Kelly photos
Eric Fredricks, Kinam Sohn and John Eisenhauer are part of the ownership group that is selling the Bainbridge Pavilion property. The Pavilion (above right) is home to Bainbridge Cinemas and other retail and restaurant businesses. wash,” he said. “It would be three stories of residential on top of two parking levels.” Since the lower parking level would be underground, a four-story building would be allowed above it. Entry to the underground level would be from the Pavilion parking lot. Fredricks said building affordable rental housing on the property would be a good fit with the Grow Community, a sustainable housing development under construction in the block to the west of the Pavilion. The property is listed through the real estate office of Kinam Sohn, who is Fredricks’ wife and also a partner in the Pavilion ownership group. Another primary owner is John
Retail & Office For Lease
Eisenhauer, founder of technology firm Kombi Corp., who moved his company’s offices to the second floor of the Pavilion last year. Regardless of the additional development potential on the site, Fredricks said the 69,000-square-foot Pavilion is a unique commercial property, with lots of high windows and two levels around a central open court on the ground floor. “It’s the only building on Bainbridge Island that has such a high percentage of its space as common area,” he said. He also noted while there is a substantial
amount of vacant commercial space around Bainbridge, a potential buyer of the Pavilion would be getting a property with all its space filled, and some tenants locked in with multi-year leases. “We have the best mixed-use opportunity because we did the hard part, we filled the retail,” Fredricks said. “What we are marketing is a lot of reliable rent and a development opportunity,” he added. “Most developers don’t want to go in mixed-use (projects) because they can’t count on filling up the retail space.”
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April 2014 Kitsap Peninsula Business Journal • KPBJ.com 23
By Tim Kelly, Editor The place you can go out for dinner and a movie on Bainbridge Island could become a place some folks call home in the future. The owners of a 3-acre property that includes the Pavilion — an enclosed twostory center with restaurants, retail and office space, and the Bainbridge Cinemas — have put the site up for sale, with a listing price of $14.9 million. Eric Fredricks, one of the principals in ownership group Madison Avenue Real Estate LLC, described the property as a mixed-use development that’s ready for an affordable housing component to be mixed in with well-established retail tenants already there. “With the Pavilion, our retail part is done,” Fredricks said of the distinctive building that opened in 1998 on Madison Avenue, a couple blocks up from Winslow Way. “It’s full; now we want to do housing. But that takes a different kind of developer.” Madison Avenue Real Estate bought the land between the Pavilion and Wyatt Way in 2008, and those parcels amount to an acre of the property that’s for sale. The Four Swallows restaurant is on one of the parcels and a car wash is at the Madison Avenue/Wyatt Way corner. Fredricks, who also has his own business building custom homes, said there’s space on those lots to build an apartment complex with about 100 studio and onebedroom units. That could be done in three phases while preserving the existing businesses, he said. The members of the Pavilion ownership group have their own businesses to run, Fredricks said, and they would prefer to sell the property to a developer interested in building affordable housing there. “We’ve drawn plans to put the first 36 units behind Four Swallows and the car