Smaller Industrial Tenants Have Limited Space
So little industrial product has been developed to cater to Seattle’s smaller users, even though they make up a majority of the tenant base, that finding new functional product is difficult in this size range.
SUMNER, WA—Bridge Development Partners LLC acquired a 3.81-acre property at 3113 142nd Ave. East, which will serve as the future site of Bridge Point Sumner South. The acquired acreage was formerly two smaller properties, one sold by a private seller and the other sold by a homeowner who utilized the property as a small blueberry farm.
The properties will be combined into a single lot to house Bridge Point Sumner South. The building, expected to be delivered in third quarter 2020, will have 82,591 square feet of space, divisible down to 30,000 square feet. Other features will include LED interior and exterior wall pack lighting, ESFR fire protection, 32-foot clear ceiling heights, two drive-in doors, 14 exterior docks, a 125-foot truck court and parking for 63 cars.
The acquisition further expands Bridge’s Seattle market portfolio and marks its second venture in Sumner this year. In May, the company announced its purchase of a 2.92-acre property that will serve as home to Bridge Point Sumner 60, a 64,574-square-foot industrial facility.
Both projects will serve as locations for the many small to medium-sized users in Seattle’s thriving industrial market.
“The Bridge Point Sumner South property is strategically located, essentially straddling two highly active submarkets: the South Sound and the Kent Valley,” said Justin Carlucci, Bridge’s Northwest regional partner. “This will provide unparalleled opportunities, and create an excellent environment for tenants looking to optimize both their overall market reach and their shipping capabilities with the most modern small to medium size warehouse offering available.”
Bridge Point Sumner South is positioned to have immediate access to Highway 167 and Interstate 5, as well as the Port of Tacoma, which are huge demand drivers for the Seattle industrial market.
“Seattle, in the grand scheme of things, is still a relatively small market. This correlates to smaller tenant sizes, i.e., 20 to 50,000 square feet,” Carlucci tells GlobeSt.com. “Further, so little industrial product has been developed to cater to these smaller users, even though they make up a majority of our tenant base, that finding new, functional product is difficult. Sumner provides newer, more functional product that can cater to these smaller sizes and it tends to be less expensive than the closer-in markets.”
Thad Mallory, Taylor Huff, Cam Warren and Balke Bentz of Newmark Knight Frank brokered the deal for Bridge and will also serve as leasing agents for the project.
Bridge Point Sumner South is the fourth property Bridge has closed on in the Seattle market during the last year and the fifth property that it has acquired in the Pacific Northwest. Its other projects are Bridge Point Lacey, Bridge Point Kent 100, Bridge Point Sumner 60 in Seattle and Bridge Point I-5 in Portland, OR.
Demand for industrial space continued to strengthen in second quarter, fueling the momentum for new construction, according to a report by Colliers International. Net absorption exceeded 1.5 million square feet in second quarter and deliveries of new industrial properties reached 2.2 million square feet, says the report.