As the commercial real estate market across the Eastside continues to draw interest from investors and developers alike, local operators with excess land might find opportunistic buyers if they are interested in selling. In a transaction that closed on December 16th, Kenmore-based Plywood Supply sold three parcels of vacant land in Woodinville to a Seattle-based Avenue 55 for $12.75 million, according to public records. What the buyers plan to do with the parcels is not certain at this point, and the company did not respond to requests for comment.
The seller, Plywood Supply, is a local building materials supplier that operates throughout the greater Puget Sound region. The company was formed in 1953, and it focuses on delivering wood products to registered contractors.
Avenue 55 is a private real estate company focused on investment, development and value added opportunities, according to its website. The company manages all aspects of development throughout the entire process. The services that the company provides include market analysis, site acquisition, entitlement, design, planning, financing, construction management, property management and asset management. The company is focused on industrial, industrial build-to-suit, office, retail properties, apartment communities and mixed-use development projects.
The site, which is comprised of one large parcel and two, smaller adjacent ones is generally located at 18501 139th Ave. NE in Woodinville. The site is just north of the town center and next to an industrial park that borders State Route 522 to the west and the housing community of West Wellington to the east.
The Woodinville industrial market has seen some activity over the last few months. It is a relatively small market, however, just in the last two months Terreno Realty invested over $57 million in two industrial properties in town, according to previous reporting by The Registry. Earlier this month, the industrial real estate investor purchased a 118,000-square-foot property located on 9.6 acres in Woodinville for approximately $33.5 million (~$284 per square foot). The property is at 16650-16750 Woodinville Redmond Road, and it provides 27 dock-high and eight grade-level loading positions and parking for 291 cars. The property is 100 percent leased to four tenants and the estimated stabilized cap rate is 3.7 percent, according to a statement by the company.
The other property was purchased in October for approximately $23.6 million ($280 per square foot), and it is located at 16224-16240 Woodinville Redmond Road, southeast of the intersection of I-405 and State Route 522. The property is approximately 84,000 square feet on 5.1 acres and provides 16 dock-high and three grade-level loading positions and parking for 139 cars. The property is 100 percent leased to a single tenant, and the estimated stabilized cap rate of the property is 3.1 percent.