By Jack Stubbs
On Wednesday, June 20th, a medical office building in Tacoma sold for $11.625 million, or approximately $151 per square foot, according to public records filed with Pierce County. The buyer of the property was Heritage Bank, a leading community bank that operates throughout the Pacific Northwest. The seller of the property was The Rush Companies, a construction company based in Gig Harbor, Washington, that manages and constructs commercial and residential properties across the Pacific Northwest.
The seller declined to comment on the transaction.
Will Frame out of Kidder Mathews’ Tacoma office and Bill Frame out of Kidder Mathews’ Seattle office represented the buyer in the transaction, which was recorded on June 28th.
The three-story medical office building, located at 3615 Pacific Ave., was built in 2005 and totals 76,828 square feet. Along with the medical building, the sale also included two parcels of land—located at 121 S. 36th St. and 3570 S. Crandall Lane—totaling .62 acres. According to Will Frame, the building was previously occupied by Massachusetts-based pharmaceutical company Charles River Laboratories. However, the company hasn’t occupied the building for around two years and there is no tenant currently in place.
The property is approximately three miles miles southeast of central Tacoma and roughly five miles from the Port of Tacoma. Additionally, the property is about 2.5 miles from the Tacoma Mall and half a mile from the intersection of I-5 and Washington State Route 7.
Founded in 1927, Heritage Bank operates in several locations throughout the Pacific Northwest, and has joined with Whidbey Island Bank and Central Valley Bank to further its goals of local service and community outreach, according to the company’s web site. The bank has branches in Kent, Auburn, Puyallup, Lakewood and Seattle, among other locations throughout the region.
Originally founded in 1987 as Rush Construction, The Rush Companies is comprised of six distinct companies including development, capital, design, commercial, residential and properties, according to the company’s web site. In 2014, Rush Commercial opened its doors in Seattle and continues to work throughout the Puget Sound region, with more than half of the company’s clients located in the Seattle area. In 2015, Rush Residential became the third largest home-builder in Pierce County, according to the company’s web site, and has plans to open new communities in Puyallup and Gig Harbor this year.
The company has commercial properties in Port Orchard, Tacoma, Kent and Federal Way, among other locations. Some of the company’s commercial properties include Pearl Place I and II, a two-building, 29,508 square foot office/medical building in Tacoma; 2930 Meridian, a medical office building in Puyallup; and the Class A Kent Valley Professional Center, a retail/office property in Kent.
There was recently another sale of a commercial office building in Tacoma. Also on June 20th, an office building adjacent to the Tacoma Mall sold for $16.55 million, or approximately $143 per square foot. M & M Tacoma Investments IV LLC acquired the property from Transpacific Investments LLC, a commercial real estate investment company based in Lake Oswego, Oregon.