Business

‘Heart of Tri-Cities.’ Richland Wye land auction sets stage for riverfront development

Back-to-back estate sales this week could put 18 properties spread across 10 acres at the Richland Wye on the radar of developers intrigued by the area that overlooks Bateman Island at the confluence of the Columbia and Yakima rivers.

The sale could lead to the area’s transformation from a down-and-out neighborhood to a waterfront destination for offices, apartments and retailers.

The Richland Wye is the area nestled behind the Yakima River Delta and Columbia River, Highway 240 and the Richland/Kennewick border near the intersection of Columbia Park Trail and North Columbia Center Boulevard.

Musser Bros. Auctions, working with Derrick Stricker, a Kennewick real estate broker, is selling the package of residential and business properties bought by the late Island View grocer Gerald “Jerry” Sleater.

Sleater spent decades purchasing properties around the grocery store his father established on Columbia Park Trail, long seen as a sleepy stretch of town noted for modest homes and commercial structures.

The transformation won’t be immediate, but it could happen eventually.

“We have a blank canvas,” said Scott Musser, chief executive officer of Musser Bros.

The properties will be sold in two groups during online and live auctions on March 6 and 7.

An auction of 18 parcels, including Island View Grocery and Sage Port Grill, could set the stage for future apartments and commerce in the Richland Wye.
An auction of 18 parcels, including Island View Grocery and Sage Port Grill, could set the stage for future apartments and commerce in the Richland Wye. Bob Brawdy bbrawdy@tricityherald.com

One group of mostly residential properties is being sold through an online auction. The other, which includes parcels occupied by SagePort Grille and Island View Grocery, is being sold in an auction that began online but which will give way to an in-person event March 7 in Pasco.

The auction invites bidders to pursue any properties they want, from individual parcels to any combination of the 18. Highest bid wins, they said.

Redevelopment won’t happen soon, but new ownership could lead to denser, more urban buildings in the future.

Brokers envision four- or five-story buildings with street-level retail next to Columbia Park Trail.

SagePort Grille at 1633 Columbia Park Trail in Richland took the top spot in the 2023 poll for the best breakfast spot in the Tri-Cities.
SagePort Grille at 1633 Columbia Park Trail in Richland took the top spot in the 2023 poll for the best breakfast spot in the Tri-Cities. Bob Brawdy bbrawdy@tricityherald.com

SagePort, Island View

The properties occupied by SagePort Grille and Island View Grocery are for sale. The businesses are not. Both have several years remaining on their leases, which the winning bidders will have to respect.

“They aren’t at risk,” Scott Musser said.

While auctions can be unpredictable, Stricker and the Mussers are confident the opportunity to secure up to 18 individual sites will bring attention to the Richland Wye, its central location and easy access to Highway 240 and by extension, all four cities.

“It’s the heart of the Tri-Cities,” said Jake Musser.

Mandy Wallner, economic development manager for the city of Richland, confirmed she’ll be watching the results and will brief the elected council on the outcome.

Numerous pieces of land and buildings are being sold during two groups of Auction of the Richland Wye in March at the Musser Bros. Auction Center in Pasco.
Numerous pieces of land and buildings are being sold during two groups of Auction of the Richland Wye in March at the Musser Bros. Auction Center in Pasco. Bob Brawdy bbrawdy@tricityherald.com

The city encourages urban development at the Wye through its zoning and commercial designations

Brokers anticipate interest from long-term investors who see an opportunity to gain control over property while they make plans or even attempt to buy properties that aren’t for sale in the area.

Most of the Sleater parcels have tenants, so the winning bidders will be able to collect some rent if they choose not to redevelop right away.

Musser and Stricker both say local interest is high and neighboring property owners have indicated interest in the auctions without clarifying if they want to buy or perhaps sell.

Pivotal moment for Wye

The estate sale comes at a pivotal moment for the Richland Wye.

Richland completed a $5 million project to upgrade Columbia Park Trail, pathways and utilities in 2021. Bruce Ratchford of Kennewick’s Apollo Mechanical Contractors is renovating Rivers Edge Plaza that was once home to Chuck E. Cheese to accommodate his business.

Richland completed a $5 million project to upgrade Columbia Park Trail, pathways and utilities in 2021. Bruce Ratchford of Kennewick’s Apollo Mechanical Contractors is renovating Rivers Edge Plaza that was once home to Chuck E. Cheese to accommodate his business.
Richland completed a $5 million project to upgrade Columbia Park Trail, pathways and utilities in 2021. Bruce Ratchford of Kennewick’s Apollo Mechanical Contractors is renovating Rivers Edge Plaza that was once home to Chuck E. Cheese to accommodate his business. Bob Brawdy Tri-City Herald

Fable Craft Bar & Kitchen, a restaurant offering from Richland’s Bookwalter Winery, opens this month at the former R.F. McDougall’s Irish Pub & Eatery at Island View.

McDougall’s closed during the COVID-19 pandemic and never reopened.

Vertisee Heights, a 24-unit apartment project, brought upscale residences to the area when it debuted a year ago. Ben Franklin Transit is building a new office building on its nearby campus.

“There’s a lot of good business down there,” said Jake Musser.

The recent developments build on earlier efforts, including the Port of Kennewick’s Spaulding Business Park and a private apartment complex.

Auction process

Here’s how the auctions are organized. The first group of properties, called Group 2, is being sold through Spark, an online auction platform linked to the Musser website. The balance, aka Group 1, is also being sold online, but final bidding occurs via a live auction.

Numerous pieces of land and buildings are being sold during two groups of Auction of the Richland Wye in March at the Musser Bros. Auction Center in Pasco.
Numerous pieces of land and buildings are being sold during two groups of Auction of the Richland Wye in March at the Musser Bros. Auction Center in Pasco. Bob Brawdy bbrawdy@tricityherald.com

Group 2, 10 a.m., March 6, online only: Group 2 is a collection of five single and multi-family (apartment) properties, with bids being received online. The concludes. The homes are generally modest and command starting prices in the $75,000-$150,000 range. A larger spot that can be commercially developed had two offers and a $400,000 asking price to start.

Group 1, 10 a.m., March 7, The online auction gives way to in-person, Musser Auction Facility, 3125 Rickenbacker Drive, near the Tri-Cities Airport in Pasco.

SagePort Grill, 1626 Columbia Park Trail, is the most prominent parcel in Group 1, which includes 11 properties clustered around Columbia Park Trail. The offerings include a residential and commercial buildings, some of them rented..

The SagePort property includes three commercial buildings and five rental units. Anything Grows is part of the parcel, which has an auction value of $200,000.

Island View Grocery & Deli at 1615 Columbia Park Trail is another prominent parcel and boasts actual views of Bateman Island and the Columbia. The parcel includes the grocery, another commercial building and three rentals. It has an auction value of $200,000.

Go to mbauction.com for details or to participate in the online bidding.

This story was originally published March 3, 2023 at 1:20 PM.

Wendy Culverwell
Tri-City Herald
Reporter Wendy Culverwell writes about growth, development and business for the Tri-City Herald. She has worked for daily and weekly publications in Washington and Oregon. She earned a degree in English and economics from the University of Puget Sound. Support my work with a digital subscription
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