Business

Tacoma, Sumner projects show investors’ interest in distribution centers

It’s challenging to keep up with the industrial distribution center projects cropping up in the Tacoma area.

Last week, Vector Development unveiled plans for the Tacoma I-5 Distribution Center at 2519 S. 96th St. Earlier in October, Denver-based real estate investors Black Creek Group offered updates of its work with the completed Tacoma Logistics Center and its Sumner Distribution Center.

The company noted that the Tacoma/Fife submarket for these types of developments “is one of the top performing in the area,” said Gregg Boehm, senior vice president of acquisitions and development for Black Creek Group.

For its industrial distribution sites, it noted: “For the past five years annual rental rate growth has averaged over 6.6 percent, and when combined with the low availability of land for development, we believe we will continue to see growth in a market that is already performing well.”

The Tacoma Logistics Center, 917 and 927 E. 11th St., consists of two buildings at 1.1 million square feet, and is 40 percent leased, according to Black Creek. The site was formerly home to Simpson Tideflats sawmill, which was replaced by the new complex.

Its Sumner Distribution Center, 3209 W. Valley Hwy. E., at about 229,000 square feet, is currently under construction.

Warehouse/storage has been one of the work groups to see growth in Pierce County in the past two years, according to WorkForce Central data.

Debbie Cockrell: 253-597-8364, @Debbie_Cockrell
  Comments