Kaiser’s 15th Ave streetfront is not completely empty — Moli Bento and Overcast Coffee continue to hold down the fort (Image: CHS)

By Matt Dowell

On 15th and Denny, across from Aviv Hummus Bar and the neighborhood 7-Eleven is a stretch of darkened windows — unoccupied retail space on Kaiser Permanente’s Capitol Hill campus. Up past Thomas in Kaiser’s North Building across from Safeway, more storefronts have gone vacant.

A longstanding agreement with the neighborhood holds Kaiser accountable to renting the space out and keeping the streetfront an active space. But the integrated managed care consortium may not holding up its end of the 15th Ave bargain.

“Kaiser appears uninterested in filling these spaces,” said David Dahl in an email to CHS. Dahl has been part of the Implementation Advisory Committee for Kaiser’s Major Institution Master Plan since its formation in 2018. Seattle requires universities, colleges, and hospitals to have MIMPs, which try to balance the institutions’ needs for special zoning rules with the needs of adjacent communities. The IAC represents the neighborhood in this arrangement.

Kaiser’s MIMP dates back to 1988, when Group Health owned the property. As part of the agreement Kaiser inherited, they’re on the hook for a few promises to the neighborhood.

Dark windows and empty spaces at 15th and John (Image: CHS)

Among them: a reduced parking burden on surrounding streets, new traffic signals, a play place for visiting children, quality open space and landscaping. They’ve agreed to at least attempt to rent the retail space in their buildings along 15th, particularly the storefronts south of John.

According to the plan, “KP shall advertise its availability in local and daily newspapers, by listing with appropriate marketers experienced in renting commercial space, and by prominent display of for rent signs.”

But Dahl believes they have stopped making an effort. “These spaces have been vacant for years, and at our last meeting Kaiser said they had tried to fill them, were unsuccessful and had no plans to continue trying.”

The 15th Ave corridor is undergoing a wave of development and investment but befitting this quieter side of Capitol Hill, the change is playing out a little more slowly and quietly than some of other changes around Seattle’s core. The slower wave means time and space for things like the Quality Flea Center to become a temporary part of the neighborhood. Meanwhile, two major mixed-use developments lined up for the street are in holding patterns until economic conditions improve. Another — the Hilltop Apartments building — opened last year. New businesses are joining the area including a rebirth of Bar Cantinetta in the Hilltop project, and delayed but still in motion plans for Fire Tacos & Cantina to join 15th in the old Coastal Kitchen building.

Dahl sees the growth as evidence of a “really strong retail environment” that businesses would be eager to participate in.

Meanwhile, a business was just priced out of the neighborhood as the Nook & Cranny book shop lost its lease and found a new home in University Heights.

Dahl forwarded his concerns to the city last year. In an email response, the Seattle Department of Construction & Inspections that is responsible for enforcing the MIMP, called for an explanation from Kaiser.

Said SDCI’s Gordon Clowers in the email, “I agree … that efforts should continue to be made by Kaiser to secure tenants for the vacant ground-floor commercial spaces along 15th Avenue E.”

“Vacant spaces tend to detract from the appearance as well as the perceived health and vitality of the business district. The district as a whole would benefit from having tenants provide services and products to the neighborhood, and increasing the presence of pedestrian-oriented uses at the ground floor.”

“I would ask that Kaiser clarify or confirm to the City and the committee in a precise fashion … its outlook and strategy for securing tenants for the vacant spaces. The purpose of this would be [to] spur a worthwhile discussion and dialogue including with the [IAC], to arrive at a better understanding.”

Overcast is helping keep the block alive. Hundreds of square feet of commercial space next door and up the street remain empty (Image: Overcast Coffee)

According to Nelson Pesigan at the Department of Neighborhoods which is also involved in MIMP implementation, Kaiser has not responded to requests from the city for more information.

Kaiser told CHS that they “can confirm that the space is currently listed as available and open for business lease”.

“Kaiser Permanente is committed to ongoing collaboration with our Capitol Hill neighbors through our Major Institution Master Plan (MIMP),” the Oakland, California-headquartered company’s statement read. “Our intent is to develop our campus and medical office buildings to best meet our member and community needs, and we continue to be guided by that purpose as we seek a new tenant for our available space on 15th Avenue E. To that end, we are in the process of selecting a new marketing team to manage this listing and assist in securing a tenant who will further enhance our campus and benefit the neighborhood.”

These efforts would be enough to satisfy the agreement. And yet, the storefronts south of John have been empty since 2022. Dahl feels that the institution is falling short.

“It seems like they have done what they’ve needed to do to get what they want without following through on their commitments to the neighborhood or community.”

Dahl and the IAC have pushed for action from Kaiser on other aspects of the agreement. In 2021, CHS reported on the committee’s wish that Kaiser sell or redevelop some parking lots around their campus — another condition of the original 1988 plan. Kaiser says it still uses the lots, but Dahl thinks they are redundant.

Dahl says such requests have been largely ignored for the seven years he’s been on the committee. He says that Kaiser, which acquired Group Health and its Capitol Hill campus in 2017, has often referenced a long-term plan that’s in the works. They tell the committee they can’t move forward on MIMP-related actions until the plan is finalized, but give no timeline for its finalization.

The committee has little recourse.

“My understanding is that if the institution wants to do something new, they are required to involve the committee,” said Dahl. “But outside of that, the role is pretty limited.”

Most of their interactions with Kaiser are limited to an annual meeting in the fall where the MIMP Annual Report is reviewed. Dahl says the meeting is “extremely ineffective”, since the report is actually put together months ahead of time and refers to things that happened in the previous year.

The city is responsible for enforcing the MIMP. But if Kaiser can show they’ve cleared the low bar set in the agreement, there might not be much to enforce.

But the empty storefronts are missed opportunities for 15th Ave. As SDCI’s Clowers said in his email, “Vacant spaces tend to detract from the appearance as well as the perceived health and vitality of the business district.”

Added Dahl, ”In the past year or so they’ve added black film to the windows.”

“It looks really uninviting.”

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