Northmarq’s Pacific Northwest team arranges $10.4 million sale of Gateway Plaza in Cottage Grove, OR

COTTAGE GROVE, Ore. (Nov. 22, 2024) — Northmarq’s Pacific Northwest Investment Sales team led by Scott Frank, Sean Tufts and Kevin Adatto successfully arranged the $10.4 million sale of Gateway Plaza, a multi-tenant shopping center located at 200 Gateway Blvd. in Cottage Grove, Oregon.

Northmarq represented the seller, Argonaut Investments LLC based in Larkspur, California. The buyer was a private individual based in Happy Valley, Oregon.

The retail center features a 7.5% cap rate and strong historical tenancy, with 68% of the gross leasable area having occupied the premises for more than 10 years and six tenants recently extending their leases.

“We brought Gateway Plaza to Argonaut in 2019, and they executed on their strategy of upgrading the tenancy in the center and adding significant value to the property,” Frank said. “We are pleased to have represented them on the initial acquisition and the exit of this very successful project.”

Built in 1978, Gateway Plaza is an 86,560-sq.-ft. shopping center located on 7.09 acres of land and featuring more than 340 parking spaces. The property is currently 90 percent occupied and features a Bi-Mart — which recently exercised a 10-year extension, a Grocery Outlet — which recently exercised a 5-year extension, and a Dollar Tree. Those three tenants drive significant traffic to the center for their sought-after discount business models.

Gateway Plaza is conveniently located along Interstate 5, E. Main St. and Gateway Blvd., which combine for more than 55,000 vehicles per day. It is located in an area that features ample food options, coffee shops, fitness, retail and healthcare facilities. More than 22,000 residents live within 15 minutes of Gateway Plaza.