Iconic Development: Panattoni's Whirlpool Distribution Center in Frederickson

by: Sarah Warnberg
Category: Iconic Developments
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Jun
01



NAIOP Washington State celebrates 50 years as a chapter this year. Founded in 1976 as the Puget Sound Chapter of the National Association of Industrial Parks, NAIOPWA has since evolved into an association that elevates all sectors of the commercial real estate development industry, from industrial and office properties to residential and retail projects and everything in between. In recognition of the past five decades of commercial real estate development, we are looking back at the iconic projects that have shaped skylines, defined cities, and powered economic growth throughout our region.

Panattoni’s Whirlpool Distribution Center Ignited Frederickson Industrial Frenzy

Today, the Frederickson area is practically synonymous with industrial development, with Amazon’s massive $219 million acquisition making headlines earlier this year. The confluence of available land, local labor, and convenient access to transit corridors and nearby ports makes Frederickson prime for warehousing and logistics operations. But this is a relatively recent evolution for the area, and it would not have been possible without Panattoni Development Company’s Seattle office planting a 900,000-square-foot flag in this South Sound industrial hub back in 2007.

The development of the Whirlpool Distribution Center was lauded as ‘pioneering’ at the time, situated on a 50-acre decommissioned gravel mine in Frederickson, an area so new to development that that to call it ‘emerging’ would have been a massive overstatement. Panattoni’s development of the parcel, led by the firm’s recently retired Seattle Partner and former NAIOPWA Chapter President Bart Brynestad Sr., unfurled alongside the largest financial crisis since the Great Depression, an economic bust cycle that was especially taxing on real estate. Nevertheless, Panattoni decided to bet big on this outlying area in Pierce County, with another 120 acres under contract at the time, as was contemporaneously reported by the Seattle Daily Journal of Commerce.

Whirlpool Distribution Center boasted 32-foot clear heights, at the time a newsworthy specification. Panattoni Seattle Partner Travis Hale, also a former NAIOPWA President, described the project as having “hit the jackpot” between the location (25 minutes from the Port of Tacoma), soil quality, and, crucially, the rail service that ran through the area, allowing Frederickson the unique advantage over nearby Lacey and DuPont. Plus, the land was considerably cheaper than more established industrial hotspots like Auburn, Kent, and Sumner. The finished Whirlpool building was LEED Gold certified, included 8,000 square feet of office space, 70 dock doors and 2 drive-in doors, and 3,000 amp – 480 volt power supply – a modest amount by today’s standards.

Panattoni’s prescience in Frederickson cannot be overstated. Now, less than two decades later, the area has several sites poised for further development, and it serves as a critical hub for a variety of industrial uses. Major end users house their logistics and warehousing operations there, and most recently, Panattoni has continued their investment with FRED310, a 310-acre Employment Center zoned site that has attracted several high-profile tenants, for both their build-to-suit and speculative projects.

No doubt an iconic project in its own right, the Whirlpool Distribution Center serves as a symbol for the wider trend of industrial development in the South Puget Sound over the last several decades and as a reminder of the bold vision that is often required when betting on an emerging market.

 

Thank you to Travis Hale, Brian Mattson, and Shannon Underwood with Underwood Gartland Development for their contributions to this blog post. This blog is part of a series on iconic projects in the Puget Sound region, organized by our 50th Anniversary Committee, members of which include:

THANK YOU TO OUR PREMIER PLATNIUM ORGANIZATIONAL SPONSOR

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