A small new retail building in Kirkland won’t generate much buzz among the general public, but it will be a hot topic for real estate investors because of the record sale price that was just recorded.
A group bought the new building, which is called Totem Lake Center, for $9.05 million, or $1,190 per square foot. That’s the highest per-square-foot price for a multi-tenant retail project in the Northwest, according to Seattle based commercial real estate company Capital Pacific, which brokered the sale.
Located on the east side of Interstate 405 by the old Totem Lake Mall, the 7,600-square-foot building is leased to MultiCare and Mattress Firm, and shares access with a new Chick-fil-A. Madison Development Group of Issaquah developed the building and, according to public records, sold the asset to Kathryn Hansen and Mitchell Ebright Hornecker of Vancouver, Washington.
The building’s location is the reason for the high price. The new property is near some of the wealthiest ZIP codes in the region, including Medina, where the average household income is around $255,750, according to the Business Journal’s new Wealthiest ZIP Codes list.