By Jack Stubbs
On June 28th, Fortress Investment Group LLC, a diversified investment management firm based in New York, spent $10.6 million to acquire a four-parcel commercial property from Safeway Inc. based in Pleasanton, California, King County records show.
The transaction included four parcels located at 2411 N Procter St., 2504 N. Adams St. and 3807 N 25th St. in the Proctor District of Tacoma, according to public documents. The first three parcels, comprised of just over half an acre and designated as “land and improvements,” are home to a parking lot. The fourth parcel, located at 2411 N Proctor St. and sharing the same address as an adjacent Safeway supermarket, contains a 42,356 square foot building constructed in 1967.
The four-parcel property is roughly two miles north of Central Tacoma and three miles northeast of Tacoma Community College. The property is also about four miles south of Point Ruston, where a large-scale transaction was recorded last Fall. In mid-September 2018, California-based CWS Capital Partners acquired six different properties at the Point Ruston Resort—including the 173-unit Copperline at Point Ruston Apartments—for a combined $101.3 million from Bellevue-based JLW PR Management Inc.
More generally, the city of Tacoma has seen a number of commercial properties trade hands over the last couple of quarters, particularly in the medical/health sector. In early May, California-based property development company the Moss Group spent $38.3 million, or approximately $615 per square foot, to acquire a 62,200 square foot Class B office/medical building—which houses the CHI Franciscan Rehabilitation Hospital—located at 815 S Vassault St. from Birmingham, AL-based Capital Growth Buchalter (CGB).
In late April, Olympia, Washington-based Berschauer Group Inc. acquired a 172,773 square foot office/medical property—located at 1149 Market Street and home to the Franciscan Service Center—for $11.5 million from Wisconsin-based Physicians Realty Trust, a REIT that specializes in the healthcare industry.
Founded in 1998, Fortress Investment Group manages assets on behalf of over 1,750 institutional clients and private investors worldwide across a range of credit and real estate, private equity and permanent capital investment strategies, according to the company’s web site. As of March 31st, 2019, the company had approximately $39.2 billion of assets under management.