Community Update: Somerset II Property Sale

Dear Bellevue School District Community, 

The Bellevue School District Board of Directors and district leadership want to provide an update on the planned sale of the Somerset II property, an approximately 10-acre undeveloped parcel located in the Somerset neighborhood near Forest Drive NE. 

Since our last update, the District and Tri Pointe Homes have completed the feasibility phase of the project and finalized a revised Purchase and Sale Agreement. 

When the initial agreement of $30 million was announced, the purchase price reflected preliminary estimates of the property's development potential. As expected, the feasibility process included detailed site analysis, environmental review, and evaluation of development constraints. That work identified environmental regulations that reduce the number of homes that can be built on the property. As a result, the purchase price has been revised to $19 million. The final lot count, or number of houses built will be determined at the end of the City of Bellevue’s formal entitlement approval process. 

While the purchase price has changed, it remains a very good outcome for the Bellevue School District. Working with experienced real estate professionals throughout this process, the District negotiated a value that is more than double the property's independent 2024 appraised value of $8.9 million. 

Sale of this surplus property, which the School Board determined is unusable for future school sites, will generate revenue that can be applied to school district needs. BSD intends to apply the $1.7 million in earnest money, which is now non-refundable with this final purchase agreement, to increase operating fund reserves. When the sale closes following preliminary plat approval by the City of Bellevue, anticipated between late 2027 and spring 2028, the remaining sale proceeds will be deposited into the District's capital fund to support future school facility improvements and potential land purchases that serve students and our community.  

We had originally planned to use the majority of the proceeds to restore our general fund reserves. However, as Superintendent Aramaki announced at the most recent board meeting, just a year after going into binding conditions, we are now projecting an almost fully restored fund balance without the property sale due to factors such as last year’s spending cuts, unspent contingencies, and an increase in special education safety net revenue. Dr. Aramaki will be sharing more of this success soon.  

We will be sharing more in the upcoming weeks. Thank you for your continued support of the Bellevue School District. Have a wonderful remainder of summer break. See you on the first day of school! 

Sincerely, 

Phil Bloch 
President, Bellevue School District Board of Directors 

Dr. Heather Sanchez 
Deputy Superintendent, Bellevue School District