The building home to industrial meat processor Fletcher’s Fine Foods in Algona sold for $9,009,075 or $143 per square foot to New York-based J.C. World Foods Inc. in a sale recorded on January 31st. Fletcher’s Fine Foods is a subsidiary of Markham, Ontario-based Sofina Foods Inc.
Loopnet lists the one-story property as a 62,797 square foot industrial refrigerated and cold storage building. The previously USDA-Conforming frozen and refrigerated foods production plant offers about 16,573 square feet of production area, 12,420 square feet of refrigerated storage, 4,932 square feet of frozen storage, 6,609 square feet of dry storage, a 3,910 square foot refrigerated dock and 11,216 square feet of office area with 14 private offices and separate locker room and restrooms areas. The site also offers parking at a rate of 1.54/1,000 square feet.
A 2016 fourth quarter Puget Sound report from commercial brokerage CBRE states the industrial market reached a total vacancy rate of 4.1 percent in the region, which marks its lowest point since the fourth quarter of 2000. On par with this sale of Fletcher’s Fine Foods, the average selling price for industrial buildings is $142 per square foot, just a dollar shy of this transaction. The average sales price is up from $122 in the fourth quarter of 2015.
The report also found that the market experienced a 300 percent year-over-year increase in the dollar value of land sales. In 2015, industrial land sales were $100 million versus $300 million in 2016. All in all, industrial buildings continued to increase in value throughout the entire region. The report notes some of the largest acquisitions including Panattoni’s Des Moines Creek Business Park Phase I for $68 million by LaSalle Investment, Blackstone’s acquisition of Springbrook Distribution Center in Kent for $40.3 million from LBA Realty, and Clarion Partners buying a portion of Southcenter South and Green River Corporate Park for $132.7 million from Cornerstone.