Northmarq’s Investment Sales team leads sale of Lowe’s ground lease in Kent, WA
Photo source: Northmarq
KENT, Wash. — Northmarq’s Pacific Northwest Investment Sales team led by Sean Tufts, Kevin Adatto, Joe Dugoni, and Jack Hallberg, in collaboration with Austin Cohn of Wahl & Associates, successfully led the sale of a 10.62-acre Lowe’s ground lease located at 24050 Pacific Hwy S. in Kent, Washington.
Northmarq represented the seller. The buyer was a Private East Coast-based group, as part of a 1031 exchange.
"Our team ran a competitive process, securing multiple offers before moving forward with the group who recognized both the investment-grade tenancy and long-term upside of the low rent ground lease,” Tufts said. “This transaction also continues the trend of out-of-market capital gravitating towards the Pacific Northwest where new retail development is nearly impossible to pencil."
Built in 2006, the 135,041-sq.-ft. store sits on 10.62 acres one block south of the Kent Des Moines Link light rail station, which opened in December 2025 as part of the Federal Way Link Extension.
The surrounding population has grown 22% since 2010, a trend expected to accelerate with continued light rail-driven development in the Midway subarea.
Zoned MCR (Midway Commercial/Residential), the property offers significant future upside through large-scale multifamily redevelopment of up to 16 stories with no unit limit, re-tenanting at market rents, or an owner-user sale. Current effective rent is 50% to 70% below market, providing an attractive entry point for investors seeking long-term land bank opportunities adjacent to transit infrastructure.
Meet our team
Northmarq is one of the largest privately held commercial real estate firms in the United States, combining a nationwide presence with deep local expertise. With more than 50 offices across the country, we provide a full suite of debt, equity, investment sales, loan servicing and fund management solutions for a comprehensive range of property types. Our unique structure allows us to connect clients with the best opportunities, yet be nimble enough to ensure access to every expert across our company. The firm manages a loan servicing portfolio of over $80 billion and has completed $91.3 billion in transactions over the past four years. At Northmarq, collaboration fuels results, helping clients achieve success in every market, nationwide.
