MCA Realty sells 136,350-SF multi-tenant industrial park in Seattle, WA for $33 million

 

Rebecca Perlmutter

Lakewood, WA – MCA Realty, a full-service real estate investment and management company based in Orange County, California, announces the sale of Lakewood Business Park, a 136,350 square-foot multi-tenant industrial park in Lakewood, Washington, a submarket of Seattle, for $32.9 million to a private 1031 exchange buyer.

Paige Morgan

Brett Hartzell, Paige Morgan, and Rebecca Perlmutter of CBRE and Nick Ratzke, John DeHan of Neil Walter represented MCA Realty in this transaction.

Tyler Mattox

The buyer was represented by Gary Stache, Anthony DeLorenzo, and Bill Maher of CBRE.

Brett Hartzell

According to Tyler Mattox, Principal at MCA Realty, this transaction marks the first disposition of the firm’s $50 million industrial growth fund.

Nick Ratzke

MCA Realty first purchased the multi-tenant industrial park at 10107 South Tacoma Way for $18.23 million in December 2020, marking its first acquisition within the fund.

John DeHan 

“Through our value-add business plan and strong leasing efforts, we were able to increase in-place rents considerably and nearly double the valuation of Lakewood Business Park since acquiring the asset,” says Mattox.

Gary Stache

“Part of the value creation was effectuated by turning an underutilized, excess land component into lease revenue by providing tenants with outside storage.”

Anthony DeLorenzo

To augment value and maximize the use of the property, the firm developed multiple fenced yards on a portion of unimproved land to further generate revenue, Mattox explains.

MCA Realty also implemented updates to the property, including new paint, asphalt, curbing, lighting repairs, and landscaping.

“Our approach allowed us to significantly increase occupancy at Lakewood Business Park,” says Mattox. “While the asset was 85% leased when we acquired it, we were able to sell it at 100% occupancy after completing these upgrades.”

Bill Maher 

MCA Realty’s widening footprint in Washington has shown the firm’s ability to grow within markets. After acquiring Lakewood Business Park, the firm went on to acquire two more properties in the Seattle area.

“Our ability to expand our portfolio in the Western region, including the Pacific Northwest, has been a benefit to our continued growth,” shares Mattox. “In 2020, we recognized the Pacific Northwest and Tacoma and Seattle markets as top performers with low vacancy rates at the time and strong growth characteristics. As of Q3 2022, the Seattle industrial vacancy rate remains low at 3.5%.”

Built in 1978/1981 and comprising six buildings, Lakewood Business Park is located less than 8 miles from the Port of Tacoma and less than 2 miles from the Lewis-McChord joint army and air force base. These destinations drive local industrial demand, as the Port of Tacoma supports more than 42,100 jobs and Joint Base Lewis-McCord has a population of over 295,000. 

As MCA Realty grows, the firm continues to deploy the remaining capital within its $50 million industrial growth fund and plans to raise a second fund in the near future, according to Mattox.

 

 CONTACTS:

Kiera Moran/Katie Haga

The Smart Agency, Inc.

(949) 438-6262

kmoran@thesmartagency.com