Associated Grocers, which serves independent grocers and supermarket chains throughout the Northwest, Alaska and Pacific Islands, has run its Puget Sound wholesale food distribution operations at this location since 1952. The property contains 975,000 sf of warehouse-distribution buildings and 75,000 sf of office space.
None of the parties involved are discussing the sale price publicly because the transaction has not yet closed. When the property came to market in December, one local investment broker told GlobeSt.com that the sale price would be "a healthy nine-figure number," which was to say well over $100 million.
In explaining the decision to sell, AG officials have said the property's value has appreciated to the point that it is time to look at relocating to more cost-effective facilities. The transaction is expected to include a multi-year leaseback to AG to allow it time to find an alternate location.
Given the time it has to think about it, Tukwila-based Sabey hasn't yet said what its plans are for the property. The company recently converted part of the old Providence Hospital on First Hill into a biotech research center and also has plans to redevelop the one-time Rainier Brewery site in Seattle's Georgetown neighborhood.
Dave Speers and Jason Rosauer of GVA Kidder Mathews had the disposition assignment for AG. Rosauer, a senior vice president with GVA, could not be reached Tuesday for comment.
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