By Meghan Hall
A Santa Monica, Calif.-based commercial real estate firm is jumping into the Puget Sound market, closing on a deal to acquire a Fife Warehouse at the end of September. According to public records, Miramar Capital purchased property at 3701 Pacific Highway East for $28.5 million. The seller was Denver, Colo.-based Drake Real Estate Services.
The property is just under an acre and is developed with a 7,680 square foot service garage originally constructed in 1960, as well as two smaller storage sheds, according to the Pierce County Assessor.Currently, the property is at least partially leased by Peterbilt, a Texas-based automotive manufacturer. The company, which has been in business for more than 80 years, builds aftermarket parts for vocational and medium-duty trucks, according to its website.
The site is easily accessible via both Interstate 5 and State Route 509. It is within minutes of the Port o fTacoma and the Pierce County Terminal in a highly commercial neighborhood. OTher businesses in the area include Costco Wholesale, FedEx, ForwardAir, UPS and others.
The asset’s new owner, Miramar Capital, is a real estate investment platform originally founded in 2017 as an offshoot of Colony Capital. According to the company’s website, the firm has completed about 25 acquisitions, five realizations and has more than $1 billion of assets under management.
Historically, the company has targeted assets along with West Coast with a specific emphasis on California. Some of its projects include 1250 Reliance in Fremont, Calif., 1899 Western in Torrance, Calf., The Atrium at Lakeside in Santa Clara, and the Forest Apartments in Jacksonville, Flor. No properties for Washington were listed within the company portfolio, making its acquisition in Fife a potential first.
The company has offices in both Santa Monica and Silicon Valley, and focuses on a mix of industrial, office, life science, multifamily and data center assets throughout the United States. Miramar Capital targets deals between $20 to $100 million with total equity of between $10 million to $40 million, and targets between 14 to 20 percent returns or cash yields on its projects.