After sitting vacant for four years, the abandoned Kmart site at 5132 Sixth Ave. in Tacoma will soon see new life.
Work should begin early next year on an 18-building apartment development with 408 units, 530 parking spaces and a pool.
Seattle-based Goodman Real Estate recently filed a land use permit for the 10.6-acre site.
The lot, which is located in Central Tacoma, is midway between the west end of Sixth Avenue, near the Narrows bridge, and a vibrant restaurant and entertainment district.
George Petrie, Goodman Real Estate president, expects the area will gain development momentum.
“This is a great spot,” he said. “Nearby Hilltop has completely changed and has a great vibe. University Place will continue to grow. And this site has scale, it’s rectangular and has good freeway access.”
Though Goodman Real Estate hasn’t developed in Tacoma for a long time, the company now sees it as an opportunity, Petrie said.
“Tacoma is one the main growth areas,” he said. “It has an overall good economy. The city is well-run. And finally rents have come up.”
Tacoma’s rents are up 7% year over year to an average of $1,458.
The 461,700-square-foot development will include 17 three-story “urban walk-up style” wood-framed residential buildings and a two-level clubhouse leasing center. A through-block road connection, playground and dog park will also be added.
No affordable housing is currently planned but that could change, Petrie said.
A high ratio of parking spaces for a project like this is important, Petrie said. “We have found that in suburban environments people still drive and still need their cars,” he added.
Goodman Real Estate, which purchased the property for $14 million, owns 30 multifamily properties in Pierce County totaling about 4,750 units.
Studio Meng Strazzara is designing the new development. Petrie expects the project to be complete in the second or third quarter of 2024.