Puget Sound Leasing Surges: 1.3M Sq Ft Signed!

I would say the last three, four weeks is the most active we've seen in a long time, and it's a nice change. So about 1.3 million feet of deals in the last three weeks signed. And that's just five deals that we're talking about? Yeah. There's been other deals. There's a lot more, yeah.

Yes. So there was a 600 and. 12,000 square foot deal that we were involved with in Tacoma that was, uh, with an existing tenant that was in 440,000 square feet. Welcome to our Industrial Advisors podcast. If you have Bill Condon and Matt McGregor. We're doing a five minute Friday and today's topic is gonna be recent leasing velocity in the Puget Sound Market.

We've actually had a number of deals done in the last, call it 14 to to 20 days that have been sizable and it's been great to see because there's been a lot of talks about tariffs and what the impact on the marketplace and we've had a really active two weeks of of leasing. I would say the last three, four weeks is the most active we've seen in a long time, and it's a nice change. So about 1.3 million feet of deals in the last three weeks signed.

And that's just five deals that we're talking about? Yeah. There's been other deals. There's a lot more, yeah. Yes. So there was a 612,000 square foot deal that we were involved with in Tacoma that was, uh, with an existing tenant that was in. 440,000 square feet, but then expanded into another approximately one 70. Mm-hmm. So it was great to see that company take on an additional 170,000 feet for a total of, again, about 612,000 square feet. And that was a, that was a five year deal.

That's a, that's a sizable deal right in the middle of all this stuff.

That's right. And then we had two sports deals. Yeah. So we had a tennis deal. That we did good credit, 126,000 feet, and then there was another 43,000 foot pickleball deal. That's the third pickleball deal that I'm aware of in the last two quarters that have landed, and that one was in Auburn at the old Auburn 18. Yeah. It's interesting to see some of these. Sports uses, actually these deals happen, you know?

Yeah. We used to see 'em a lot and you know, landlords were a little reluctant to do the deals. Now these entities are becoming, you know, more proven and like this tennis deal. Your money behind. Yeah. More money behind, like this tennis deal, for example, they have a couple different locations. They have been up and running for a number of years. Good financial backing behind it, and just given the popularity of. Of tennis and pickleball and, and, and everything else.

That's, uh, it's, it's nice to see some of these deals start to happen.

Well, I think the history of 'em, why people didn't want to do 'em is number one, you never wanna involve like. Kids and activities like that and truck courts. Mm-hmm. Right. Yeah. So first I think landlords are now looking at it saying, okay, if we have a building that's not a shared truck court or, or an independent building that we could do this in where we're not putting people at risk and combining that industrial activity. And then secondly, to your point. They're much bigger credit deals.

It's not your Bill Conn wants to practice a a u basketball and Yeah. Forms together a couple guys and signs a lease. Now it's big entities, big money behind these. Yeah, my credit would be just fine like that. Bill Con Enterprises.

Yeah. So, and then there was, there's two other deals. There was the, you know, the three 20 done in Frederickson? Yes. With the pharmaceutical group. And then there was the deal done in Auburn that Prologis did that was 200,000 square feet. Pini Pini. Yeah. Yeah. Pini. It was a coffee deal. Yeah. Green coffee I think for Starbucks contract, if I remember. Okay. Yeah. But I know it's a coffee deal, but yeah, so in that building, it's at a while. So.

All of a sudden we've got that and we're tracking other deals in the market. We think there's about another 2.2 million feet of active larger deals. We're not throwing everything on there, but that's a lot of activity right now, and we've only really seen one or two deals fade away. I. Because of the tariff situation. It's actually created some deals. It's created deals. And the deal that went, uh, you know, we were involved with one deal that hit pause on the tariff situation.

They didn't tires, it didn't go away. Tire deal. And they think they'll come back. Yeah. So, but the other nice thing about these deals that have happened is it's been spread out through our market. So you have Tukwila. You have Tacoma, you have F Fredrickson, you have Auburn. So they're happening in these these different cities, which is also good to see. Yeah. Spread out diversification of different types of tenants, but positive absorption. Yeah.

I think it's just that it's, it's good news in a market where you're hearing a lot of uncertainty. We got five really good deals that just got done that were sizable, so That's right. Good news for the marketplace. Happy Friday.