Industry Notes: Industrial development booming in Gresham, Ascend Holdings buys Bend site for $8 million

Compiled by Vickie Kavanagh
vkavanagh@oregonian.com
503-294-5913; okavkid

GRESHAM -- Nearly $17 million in new industrial development projects are in the works in Gresham -- construction that is bringing new businesses to the city and allowing existing businesses to expand. In total, the development will create about 70 jobs.

Gresham Mayor Shane Bemis provided details of this progress today at a Gresham Area Chamber of Commerce luncheon. At the Chamber event, Bemis discussed the City's economic development efforts and the City Council's focus in recent years on job creation and business attraction and retention.

"The Council and I share the view that the City of Gresham should be a resource and a good partner to business," Bemis said in a news release. "We want to bring your business to Gresham, get you what you need, and then get out of your way."

Signs of this commitment stand at 181^st Avenue and Sandy Boulevard, and at Northeast Riverside Parkway at the Southshore Corporate Center. In December, two new industrial properties were completed on these sites. These so-called "spec buildings" are empty shells containing 423,000 square feet of flexible space. Companies that lease part of these buildings can build out the space according to their own specifications.

In addition, several industrial expansions and renovations are planned:

• Teeny Foods, the wholesale baking company, is planning a $12.7 million expansion that more than doubles its production space on Northeast 170^th Place from 47,000 to 127,000 square feet. Construction is currently underway and is expected to be complete in fall 2015. On March 17, the City Council approved a three-year tax abatement for Teeny Foods for this project.
• Shamrock Foods - the seventh-largest food distributor in the United States - is making $1.2 million in improvements to the former Charlie's Produce building on San Rafael Street and will locate a food distribution operation there. The distribution center will be Shamrock's first site in Oregon, allowing the company to serve new clients in the Pacific Northwest.
• Grocery Outlet is leasing 185,000 square feet of the Cascade Distribution Center at Sandy Boulevard and 202^nd Avenue, and will make $1.4 million in improvements. On March 3, the Gresham City Council approved a five-year Enterprise Zone tax abatement for Grocery Outlet for this project.
• SEKO, the global logistics company, is building a 20,000-square-foot industrial space on Sandy Boulevard, a $1.5 million project expected to be complete in 2015.

Shannon Stadey, director of economic development services for the City, said these relocations and expansions are a sign of the region's recent increased real estate activity and business growth, and also serve as confirmation that Gresham is getting economic development right for the traded sector.

In 2013, Gresham launched a mobile app designed to help industrial site selectors find space. In 2014, Gresham became the first city in Oregon to guarantee turn-around time for industrial development review and approval. For 2015, Gresham is considering new incentives for manufacturers and other traded sector companies.

-- Wendy Lawton, City of Gresham communications manager

Here's what's happening in other cities:

VANCOUVER

• The Avamere Family of Companies has acquired Cascade Park Care Center, 801 S.E. Park Crest Ave., Vancouver, and will rebrand the skilled nursing and rehabilitation facility as Avamere Rehabilitation of Cascade Park. Based in Wilsonville, the Avamere Family of Companies operates over a dozen, independent living, assisted living, and skilled nursing and rehabilitation centers throughout Portland and surrounding communities.
• The Buhler Family Trust has purchased a 18,160 square foot office building at the Andresen Corporate Center, 4201 N.E. 66^th Ave., Vancouver, from PBC Development for $3,372,000. Tim Parker and Peter Andrews of Melvin Mark represented the buyer. Michael Jenkins, Derek Federinko and Brett Irons of Coldwell Banker Commercial Jenkins and Associates represented the seller.
• Trap Door Brewing has leased 3,200 square feet of space at 2315 Main St., Vancouver, from Parker/Small/Ostroff Properties. Jim West of Coldwell Banker Commercial Jenkins & Associates represented the lessee.

BEND

• Ascend Holdings Inc. has purchased 55,855 square feet of office space at 1133 N.W. Wall St., Bend, from Pilot Butte Associates, Inc. for $8,000,000. George Slevin of Kidder Mathews represented the buyer. Ron Ross and Erich Schultz of Compass Commercial represented the seller.
• Market of Choice has broken ground on a 35,000-square-foot store at Northwest Lava Road and Northwest Colorado Avenue in Bend. The store is scheduled to open during the summer of 2016.
• Café Yumm! has opened in Neff Place Center, 1500 N.E. Cushing Drive, Bend. This second Bend location is also owned by Karli Foster and Ellen Chamberlain who opened their first Café Yumm! restaurant in December 2007 in The Old Mill District.

NORTH PLAINS

• Bransen Equipment has leased 19,680 square feet of industrial space at 29401 N.W. West Union Road, North Plains, from Clark Land Development. Cliff Finnell and Matt Lyman of Kidder Mathews represented the lessor.

Victorian Arts S.W., LLC has purchased the Sellwood Apartments, 1721 S.E. Tacoma St. in Portland.CBRE

PORTLAND

• BidBuy, Inc. has leased 20,777 square feet of industrial space at 5515 N.E. 148^th Ave., Portland, from ProLogis. Zach Francis of Kidder Mathews represented the lessee. Tom Talbot, Tony Reser and Scott Murphy of Kidder Mathews represented the lessor.
• Blue Star Donuts has leased 1,400 square feet of restaurant space at 921 N.W 23rd Ave., Portland, from Ismet Yetisen. Kia Hartley of Urban Works Real Estate represented both the lessee and the lessor.
• Victorian Arts S.W., LLC has purchased the Sellwood Apartments, 1721 S.E. Tacoma St., Portland. Sean Worl and Jared Whipps of CBRE's Capital Markets Multifamily Investment Properties team represented the buyer. Nick Santangelo from CBRE Portland's Debt & Structured Finance team arranged financing for the buyer.
• Cyclone Bicycle Supply has subleased 16,200 square feet of industrial space at 3424 N.W. Yeon Ave., Portland, from Stone Wood Outlet LLC. Tim Pfeiffer of Norris and Stevens represented the lessee. Zach Francis of Kidder Mathews represented the lessor.
• Garden Bar has leased 1,123 square feet of restaurant space in the Postal Building, 510 S.W. Third Ave., Portland, from Loyalty Holdings LLC. Rob Moneyhan of Urban Works Real Estate represented both the lessee and lessor.
• GeoEngineers has leased 6,196 square feet of office space at 1200 N.W. Naito Parkway, Suite 180, Portland, from the Bill Naito Company. Mark McFarland of Jones Lang LaSalle represented the lessee. Josh Schweitz and Travis Parrot of Kidder Mathews represented the lessor.
• Kartini Clinic, an internationally recognized pediatric eating disorder treatment center, recently moved from its longtime home on Legacy Emanuel Medical Center's North Portland campus to an updated facility in the Radiator Building at 3530 N. Vancouver Ave. The new clinic features 14,000 square feet of treatment space to meet the needs of six age appropriate day treatment and intensive outpatient programs, a commercial-grade kitchen and dining area, a dedicated classroom, art and movement therapy areas and much more; the new facility will create openings for an additional 13 day-treatment patients as well as 10 additional intensive outpatient spots.
• R2C Group has purchased 15,000 square feet of office space at 1403 S.E. Stark St., Portland, from Bastasch Family Trust, for $2,100,000. Mark Fraser, Brandon O'Leary and Jake Haas of Kidder Matthews represented the seller.
• Tee & B Growler Guys LLC has leased 1,800 square feet of space at 0650 S.W. Gains St., Portland, from RIVA Portland, LLC. Anne Hecht of Cushman & Wakefield represented the lessee.
• Upper Left Roasters has leased 2,079 square feet of restaurant space at 1204 S.E Clay St., Portland, from Ladd Corner LLC. Rob Moneyhan of Urban Works Real Estate represented both the lessee and lessor.
• Wildwood Bespoke has leased 1,458 square feet of retail space in the Hamilton Building, 529 S.W. Third Ave., Portland, from Loyalty Holdings LLC. Charlotte Larson of Urban Works Real Estate represented the lessee. Rob Moneyhan of Urban Works Real Estate represented the lessor.

WILSONVILLE

• Intermountain Drilling Supply, Inc. has leased 9,000 square feet of industrial space at 10955 S.W. Commerce Circle, Suite D, Wilsonville, from WH Portland Industrial LLC. Tom Tetherow of Niehaus Properties represented the lessee. Steven Klein and Peter Stalick of Kidder Mathews represented the lessor.