SeaTac buys four acres across from Tukwila light-rail station

The SeaTac City Council has voted unanimously to purchase a 4.23 acre parcel and commercial structure located at 15247 International Boulevard for a total acquisition cost of no more than $12.7 million.

The property, located directly across International Boulevard from the new Tukwila International Boulevard light rail station is needed to construct public roads, open space and infrastructure as set forth in the Capital Improvement Plan for the Light Rail Station Area at South 154th Street, according to SeaTac staffers.

The transaction closed Dec. 31.

"This is a fantastic opportunity for the City of SeaTac," said Mayor Ralph Shape. "The city was able to purchase a critical piece of property for future public use at $4 million less than a recent appraised value, and more than $6.4 million less than the current tax assessed value.

"At the same time the community will realize significant net operating income in the coming years from the current leases at the property."

Fifteen tenants occupy 61,641 square feet of space at SeaTac Center including Monte Carlo, Refugee Women's Alliance, Pabla India Cuisine, and Pacific Highway Chiropractic.

In Dec. 2006, council adopted the South 154th Street Station Area Action Plan, which called for this area to be developed as a vibrant, mixed-use residential neighborhood that connects people of various backgrounds.

The station area was envisioned to be pedestrian-oriented, visually pleasing, easily accessible, and integrated with the new light rail station across the street. The adopted plan provided for the city to acquire property in order to build the required infrastructure such as roads and sidewalks.

In May of this year the property went into foreclosure proceedings. The city worked through a commercial broker to ascertain the value of the land and the current tenant lease agreements.

SeaTac will retain a third-party firm to manage the property.