Starbucks Retail Drive-Thru - Richland

Property Overview

The Starbucks Retail Center at 59 Columbia Point Dr in Richland, WA is a 4,698 SF unanchored strip retail center built in 2004. The property is shadow anchored by WinCo Foods and sits within a grocery-anchored retail development surrounded by national retailers including Dollar Tree, Jack in the Box, Applebee's, and Big 5.

Challenge

Our team was engaged to represent both the buyer and the seller in the sale of a four-tenant retail strip center in Richland, Washington. The property was 88% occupied at the time of sale, meaning a small vacancy remained that buyers would need to underwrite. The buyer was completing a 1031 exchange, adding a layer of timing and coordination requirements to the transaction.

Action

Prior to marketing, the Kidder Mathews leasing team negotiated an early 10-year lease extension with Starbucks, which anchors the center with a drive-thru location. That lease extension, combined with four 5-year renewal options and scheduled rent increases, significantly strengthened the investment profile before the property was brought to market. The property was offered free and clear of existing debt, giving the buyer flexibility in structuring their acquisition financing. Our team coordinated the transaction on behalf of both parties, managing communication and due diligence through closing.

Result

• Sale price of $1,965,000, matching the full asking price
• $418 per square foot
• Buyer successfully completed a 1031 exchange
• All leases structured as triple net (NNN), minimizing landlord responsibilities for the incoming owner
• Property shadow anchored by WinCo Foods with strong surrounding national co-tenancy