By Meghan Hall
Even as COVID-19 has put a halt to the traditional retail experience, centers anchored by essential businesses, or those situated on large parcels with close proximity to strong demographics, are still attracting the attention of investors. In a transaction that closed at the beginning of May, Bellevue, Wash.-based Four Corners Manager LLC, an entity who shares its address with Heartland Construction, purchased a 10.68-acre retail property in Everett, Wash. According to public documents, the seller was Everett 4 Corners LLC, an Arizona-based entity, and the property sold for an even $18 million.
The property is located at 8102 Evergreen Way and is known locally as the Andersons Shopping Center. According to Snohomish County property data, the buildings on the site were constructed in 1966 and 2006, and are home to a Super K Mart, dialysis facility and Walgreens Pharmacy.
Located right off of State Route 526, the center is sandwiched between two other retail centers along Evergreen Way. The first, known as Cascade Plaza, is anchored by retailers such as Safeway, Ross Dress for Less and Joann Fabrics. The second sits at the intersection of Evergreen Way and Casino Road and is smaller, anchored by a Fred Meyer and Little Caesars Pizza. The Everett Mall is also just a few minutes’ drive away.
Heartland Construction, an affiliate of DevCo, Inc., is a privately held real estate investment firm. Heartland Construction is responsible for carrying out the development of DevCo’s projects. The firm has been in business for more than 20 years, in which time it has developed and managed a variety of multifamily communities in the region. To date, the company has built 4,000 units and has an additional 1,000 currently under construction, according to its website.
Project plans submitted to the City of Everett in November of 2019 show that DevCo and Heartland are planning to redevelop the property in the near future. Public documents show that the firm intends to build 430 residential units spread over five buildings on the site. Units will range in size from one-bedrooms all the way up to five bedrooms. More than 680 parking units are included in the plans, as well. Outdoor seating areas, a 3,000 square foot play area, pool, basketball court and 8,000 square feet of indoor recreation space are also highlighted in the plans.
A McDonald’s not part of the property and located at the corner of Evergreen and 79th Pl. SE will remain, as will the site’s existing dialysis center and detention facility.
The project is still working its way through the planning and entitlements process, with the City of Everett last releasing a planning memorandum at the end of March regarding zoning and design clarifications for the project.
Previously, DevCo and Heartland have completed one other project in Everett. Called Axis, the multifamily community was completed in 2016 and features an indoor basketball court and common lounge area, among other amenities. One-bedroom units rent for about $1,300 per month, while two-bedroom units rent for $1,550 and three-bedrooms go for $1,783. Four- and five-bedroom units rent for $1,980 and $2,189 per month, respectively.