Panattoni, PGIM Break Ground on Seattle-Area Industrial Campus

Kidder Mathews and JSH Properties will market the flex industrial project for lease. Image courtesy of Kidder Mathews

Panattoni Development Co. and PGIM Real Estate have commenced construction on North Creek Commerce Center, a 243,000-square-foot, Class A industrial campus in Bothell, Wash.

The three-building business park will be the Eastside market’s largest new industrial project, with completion scheduled for July 2024. Kidder Mathews and JSH Properties have been tapped as exclusive leasing agents for the development.

The partnership picked up the land in August from McClure & Sons, Inc., paying $17.5 million, and has also landed $38.5 million in construction financing from Fifth Third Bank, with maturity set for 2026, according to Snohomish County public records.

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North Creek Commerce Center will rise at 18712 Bothell Everett Highway and its buildings will include 30-foot clear heights, dock and grade level loading, a 130-foot truck court and ample parking space. The flex industrial project will be composed of the 22,971-square-foot Building A, the 104,610-square-foot Building B and the 115,400-square-foot Building C.

The 29-acre property will provide easy access to interstates 5, 405 and to U.S. State Route 9, while also being 17 miles from Bellevue, Wash., 24 miles from Seattle and within 32 miles of Seattle-Tacoma International Airport. Kidder Mathews’ Executive Vice President Zach Vall-Spinosa, with JSH Properties’ Brokers Ernie Velton and Reese Velton will be leading the project’s leasing activities.

Focusing on development

Earlier this year, Panattoni has secured a full-building tenant at another industrial project in Washington. In a joint venture with Crow Holdings Capital, the developer signed a long-term lease with Harbor Freight Tools, which will occupy a 782,875-square-foot building within FRED310, an industrial campus currently underway in Frederickson, Wash.

In January, the developer announced plans to build a 243,000-square-foot facility in Covington, Wash., on one of the last parcels of land available for industrial development in the area. Kidder Mathews will be providing leasing services for Covington 18.