D I G I TA L M A G A Z I N E TRI-CITIES
Q3 | 2019
KENMORE quarterly
KENMORE TEAM, LLC RE S I D ENTIAL | COMMER CIAL | PROPERT Y M A NA GEM ENT | C ONS T RUC T ION S ERVIC ES
KQ
/ 2019 WELCOME
PHONE: 509.735.1025 EMAIL: sold@kenmoreteam.com WEB: www.kenmoreteam.com ADDRESS: 8927 W. Tucannon Ave., Ste 201 Kennewick, WA 99336
KENMORE QUARTERLY T WE NT Y N INE T EEN - Q UART E R 3
welcome fall Just like that - fall is here! Crunchy leaves, autumn breeze, and a good dose of Tri-Cities real estate. We’ve packed this issue of the Kenmore Quarterly full of gorgeous listings and are thrilled to announce that the number of residential listings is on the rise! Our team also met with Northwest Injury Clinics, RDO Lawn and Land, one of our residential clients, and gathered around the table for a food feature that you are sure to love!
-The Kenmore Team Residential Commercial Property Management Construction Services
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WELCOME
HAPPY TO HAVE YOU HERE!
2019 QUARTER 3 1 WELCOME 2 CONTENTS 4 LETTERS FROM LANCE 5 WELCOME DAVID 6 FEATURE: JAMBALAYA 10 FEATURE: AT HOME WITH 12 RESIDENTIAL DIVISION 14 RESIDENTIAL STATISTICS 16 RESIDENTIAL FEATURED LISTINGS 24 ACESSORY DWELLING UNITS 27 FEATURE: NORTHWEST INJURY CLINICS 30 COMMERCIAL DIVISION 31 STATISTICS & NOTABLE TRANSACTIONS 32 INVESTING IN OPPORTUNITY ZONES 34 COMMERCIAL FEATURED LISTINGS 42 FEATURE: RDO LAWN & LAND STORE 46 PROPERTY MANAGEMENT DIVISION 48 FAIR HOUSING 50 ACTIVE LISTINGS 54
KENMORE TEAM DIRECTORY
MAGAZINE CONTRIBUTIONS KAREN KENMORE: Operations Director JORDAN DE GROOT: Kenmore Quarterly Designer and Photographer - Marketing and Photo Specialist CARRIE PERRY: Copy Editor SARAH MACHIELA: Food Feature TYSON JONES: Featured family
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12 RESIDENTIAL PG
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30 COMMERCIAL
46 PROPERTY MANAGEMENT
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LETTERS FROM LANCE When I was a rower in college, I trained under an Olympic coach who always broke our 2000-meter race down into 500 meter quarters. He pounded into our heads that races were won and lost in the third quarter. His mantra was “We never lose the third 500!� This philosophy carried through to the rest of my life and our real estate team! As we end the third quarter, I find myself asking the question: Did we win the third quarter? I can confidently say that the answer is YES! There are some great things happening in the market right now. Lower interest rates, increased inventory to a sustainable level, and a new single month record for our team closings this quarter - setting the benchmark for the number of clients helped in a single month! On top of all that we managed to fit in some summertime fun with family, weddings, and new building construction. A strong third quarter always provides momentum into the fourth. Please enjoy the stories and information in our latest edition of the Kenmore Quarterly. Thank you for helping make this one of our best quarters ever. I look forward to seeing you at an upcoming client event and around town!
A KENMORE T
Our team had the great priviledge of watching an o two of our team members, R
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TEAM WEDDING
office romance turn into a beautiful wedding day for Ryan and Kim. Congratulations!
WELCOME TO THE TEAM DAVID PRICE CLOSING COORDINATOR, REALTORŽ Before joining the Kenmore Team I worked in radio and digital advertising sales in both South Bend, Indiana and here in Kennewick. This experience has helped prepare me for a career in real estate because it heavily involves sales and customer service skills, as well as a great attention to detail with tight deadlines. It also provided me the opportunity to be out and about meeting many new people and learn all about the Tri-Cities in the process! I have always been intrigued by the real estate field. As a kid my family moved when I was in elementary school, and I was excited when we would go out to look at houses. I then purchased my own home here in Kennewick, and was reminded how much I enjoy the process. I am now motivated to help people get into their new homes and be excited about the process. Buying a home is a huge milestone in life, and I want to help make that an enjoyable and fulfilling experience. I truly enjoy all the Tri-Cities has to offer. Whether it’s time by the river, visiting wineries, or hiking badger, there are tons of things to do. After growing up on the east coast, I also love summers without the humidity! K E N M O R E Q U A R T E R LY
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FEATURE: FOOD
ON T JAM resid ent ia l | p ro pe r t y ma n a g e me nt | co mme rc i a l | F E AT U R E
THE MENU: MBALAYA K E N M O R E Q U A R T E R LY
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FEATURE: FOOD
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ON THE MENU: JAMBALAYA SHOPPING LIST • 3 tbsp olive oil, divided • 2 chicken breasts, cut into small pieces • 1 lb andouille sausage, thinly sliced into rounds • 3 small bell peppers, core and dice • 1 jalapeño pepper, seeded and finely chopped • 1 white onion, diced • 4 cloves garlic, peeled and minced • 1 can crushed tomatoes • • • • • • • •
3–4 cups chicken stock 1 1/2 cups uncooked long grain white rice 2 tbsp Cajun seasoning 1 tsp dried thyme, crushed 1/4 tsp cayenne pepper 1 bay leaf 1 pound raw large shrimp, peeled and deveined Kosher salt and freshly-cracked black pepper
INSTRUCTIONS Heat 1 tbsp oil in a stock pot over medium-high heat. Add chicken and sausage and sauté for 5-7 minutes, stirring occasionally, until the chicken is cooked through and the sausage is lightly browned. Transfer to a clean plate and set aside. Add the remaining 2 tbsp oil to the stock pot. Add bell peppers, jalapeño, onion and garlic. Sauté for 6 minutes, stirring occasionally, until the onions are softened. Add crushed tomatoes, chicken stock, rice, Cajun seasoning, thyme, cayenne, bay leaf, and stir to combine and bring to a simmer. Then reduce heat to medium-low, cover and simmer for about 25-30 minutes, or until the rice is nearly cooked through, stirring every 5 minutes or so along the way so that the rice does not burn. Add shrimp and stir to combine. Continue to simmer, stirring occasionally, until the shrimp are cooked through and pink. Stir in the chicken and sausage, and remove and discard the bay leaf. To finish, add in salt, pepper, and additional Cajun seasoning if needed. Remove from heat and serve. *Recipe adapted from Pinterest K E N M O R E Q U A R T E R LY
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/ 2019 FEATURE: FAMILY
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AT HOME WITH THE HORTONS We caught up with the Horton family after they settled into their brand new home purchased with the help of Buyer Specialist Tyson Jones. Their favorite part of the new house is the kitchen, and we can see why with the spacious setup and plentiful counter space! They have great ideas for incorporating more personal touches including shelving and a gas fireplace to finish off their living room.
TYSON JONES BUYER SPECIALIST REALTORÂŽ Cell: 509.845.0856 tyson@kenmoreteam.com
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RESIDENTIAL DIVISION 108133 E 217 PRSE, Kennewick More on page 18
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/ 2019 RESIDENTIAL: STATISTICS
Q3
Q3
JULY
AUGUST
S
ACTIVE LISTINGS
619
691
733
LISTINGS SOLD
424
413
358
AVERAGE SOLD PRICE
$325,415
$333,093
$32
LISTINGS UNDER CONTRACT
409
412
398
AVERAGE DAYS ON MARKET
25
31
30
$00,000 - $99,999
>1% (1 sold)
1% (6 sold)
3%
$100,000 - $149,999
1% (6 sold)
1% (4 sold)
<1%
$150,000 - $199,999
5% (23 sold)
6% (25 sold)
5%
$200,000 - $249,999
16% (66 sold)
15% (63 sold)
18%
$250,000 - $299,999
30% (126 sold)
23% (95 sold)
25%
$300,000 - $349,999
15% (65 sold)
18% (73 sold)
18%
$350,000 - $399,999
13% (57 sold)
13% (55 sold)
12%
$400,000 - $449,999
8% (33 sold)
8% (31 sold)
7%
$450,000 - $499,999
4% (16 sold)
7% (28 sold)
6%
$500,000 - $549,999
2% (10 sold)
3% (14 sold)
3%
$550,000 - $599,999
1% (6 sold)
1% (4 sold)
2%
$600,000 +
4% (15 sold)
3% (15 sold)
4%
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Q3
AVERAGES BY YEAR
SEPTEMBER
Q3 AVERAGES
2018 Q3 AVERAGES
2017 Q3 AVERAGES
3
681
763
731
8
398
353
383
22,341
$326,949
$308,603
$274,399
8
406
352
371
28
29
24
SOLD Q3
SOLD
SOLD
(9 sold)
16
29
47
% (3 sold)
13
31
70
(17 sold)
65
105
220
% (64 sold)
193
265
271
% (90 sold)
311
245
242
% (65 sold)
203
192
140
% (42 sold)
154
106
111
(25 sold)
89
60
59
(17 sold)
61
40
34
(9 sold)
33
23
25
(6 sold)
16
23
14
(11 sold)
41
33
13
Total homes sold in Q3 2019 - 1195
Q3 2018 - 1152
Q3 2017 - 1246 K E N M O R E Q U A R T E R LY
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LANCE KENMORE
/ 2019 RESIDENTIAL: DIVISION
DESIGNATED BROKER | REALTOR® Cell: 509.727.8977 lance@kenmoreteam.com
5310 Hershey Lane, RICHLAND $925,000 | 4 bED | 4 baTH | 4,224 sqft | MLS # 240601 Exceptional home with masterful design plus ultra-modern luxury with this stunning 4 BR 4 BA Candy Mountain Estates home boasting commanding views from almost every room! Large formal entry provides a warm welcome while inviting family and guests into this spectacular home offering great spaces for living and entertaining both inside and out. Soaring ceilings, plentiful natural light, large living room, hardwood floors, spacious dining area, plus threelevels of outdoor enjoyment on decks and patios overlooking the breathtaking sunrises and sunsets as well as the panoramic view of Tri-Cities and beyond. High-tech amenities throughout including biometric digital front entry, Nest thermostat, and touch lighting. Enviable gourmet kitchen complete with huge quartz-topped island, dining bar, soft-close cabinets/drawers, stainless steel appliances, wine chiller, oversize pantry, and office alcove. Unwind after a long day in the beautiful master retreat with deck access, large custom walk-in closet, dual-sink vanity, and luxurious tiled walk-in shower! Expansive lower-level family room/rec room boasts gorgeous metallic epoxy coated concrete floors, home cross-fit gym, fourth bedroom, 3/4 bath, plus perfect future wine cellar and wet bar set-up! Walk-out from the lower-level family room to oversize covered patio, basketball/sport court, and pergola covered fire pit--all overlooking the spectacular panoramic views! Home designed and “ready” for future pool and elevator if desired! Close to shopping, wineries, freeway access, trail heads, recreation paths, and schools. R E S I D E N T I A L | pro pe r t y ma n a g e me nt | co mme rc i a l | fe atu re
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CURTIS DAHL LISTING SPECIALIST | REALTORÂŽ Cell: 509.531.2729 curtis@kenmoreteam.com
108133 E 217 PRSE, Kennewick $989,000 | 3 bED | 4 baTH | 4,737 sqft | MLS # 240012 Best view in the Tri-Cities plus unbeatable comfort and luxury in this 3 BR 4 BA + an office home overlooking Badger Canyon and offering 4700+ square feet on 10 acres! Beautiful formal marble entry welcomes you with 18-foot ceilings and view out to inviting covered patio and pool beyond. Hardwood floors, lots of natural light, and great room layout with spacious living area, dining area, and cozy stone corner fireplace. Open, gourmet kitchen boasting granite counters, maple cabinets with crown molding trim, pull-outs in all base cabinets,easy close drawers, tons of counter space, stainless steel appliances, double built-in ovens, warming drawer, massive island with secondary sink, two dishwashers and breakfast bar. Private master wing complete with marble entry to large bedroom, patio access,huge walk-in closet/dressing room, and luxury private bath with jetted tub, dual sink vanity, tile galore, and dream walk-in shower! Two generous secondary bedrooms with large Jack-and-Jill bath. Den/office and additional 3/4 bath with access to patio and pool for guests. Expansive upper-level family/bonus room with half bath, storage cubbies, and space for entertainment area as well as gathering areas. Basement provides ALL the storage space you will need plus plenty of space for additional rec room or theater room. Host parties large and small in the fully ironfenced backyard with ample patio space, plumbing/propane hookups for summer kitchen, play area for the kids, and separately fenced in ground pool with saltwater system, water slide and diving board--all overlooking the stunning panoramic views of Tri-Cities, Badger Canyon, Badger Mountain, and beyond. Three-car finished garage with 1,440 sq ft. RV patio w 50-amp electrical,water, and sewer hookups and dump site! Property is wired for generator power! Call today for your private showing--this is a canâ&#x20AC;&#x2122;t miss property! R E S I D E N T I A L | pro pe r t y ma n a g e me nt | co mme rc i a l | fe atu re
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LANCE KENMORE
/ 2019 RESIDENTIAL: DIVISION
DESIGNATED BROKER | REALTORÂŽ Cell: 509.727.8977 lance@kenmoreteam.com
984 Allenwhite Drive, RICHLAND $849,900 | 5 bED | 5 baTH | 4,688 sqft | MLS # 239598 Fall in love with the gorgeous views and thoughtful design of this custom-built 5 BR 5 BA rambler with basement in South Richlandâ&#x20AC;&#x2122;s Sundance Ridge! Comfortable luxury throughout with large windows showcasing panoramic views, lots of natural light, and fantastic-open-concept layout. Great room with gorgeous fireplace, built-ins, and sixzone wireless surround sound (interior and exterior). Entertain with ease in the fantastic gourmet kitchen complete with commercial refrigerator/freezer, downdraft five-burner range, double ovens, built-in wine bar, and nine-foot granite island! Main-level master retreat with French doors to deck, large walk-in closet, and luxurious private bath with heated floors, dual sink vanity, soaking tub, and tiled walk-in shower. Second main-level guest suite is handicap accessible and offers walk-in closet and en suite bath with zero-clearance walk-in shower. Great lower level entertaining space in the large rec room--wet bar with copper counter tops, copper sink, fridge/freezer, and lighted shelving. Theater room! Walk-out from lower-level rec room to covered patio with hot tub--perfect for relaxing evenings overlooking the Yakima River! Lower-level also includes three bedrooms (two with attached bathrooms), second laundry room, and extra storage. Desirable location, beautiful sunset views, and room for everyone make this a must see home! R E S I D E N T I A L | pro pe r t y ma n a g e me nt | co mme rc i a l | fe atu re
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KELLEN ADCOCK LISTING SPECIALIST | REALTORÂŽ Cell: 509.554.0460 kellen@kenmoreteam.com
2860 Jacob Court, KENNEWICK $499,900 | 4 bED | 3 baTH | 2,453 sqft | MLS # 239222 One of the best Kennewick locations, gorgeous views, and nearly five acres with this custom 4 BR 3 BA home PLUS a large shop in Rancho Del Rey! New exterior paint and new HVAC! Formal entry with hardwood floors and vaulted ceiling invites you into this light and bright home offering formal living room with masonry fireplace, formal dining room, and great room concept family room open to kitchen with granite tile counters, tile floors, full back splash, pantry, and secondary dining area. Upper-level master suite offers French doors to private balcony plus en suite bath, jetted tub, tile shower, and dual closets! Two secondary bedrooms on upper-level as well as large fourth bedroom/flex space option with second private balcony! Plenty of outdoor entertaining space on the new full-length patio and spacious yard. Storage shed and chicken coop! Huge 1560 sq. ft. shop with two bays (one with 14-Foot door), 200 amp panel, and vehicle lift! This must see property provides peaceful country living and is just minutes to amenities, schools, and freeway access.
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/ 2019 RESIDENTIAL: BUYER’S ARTICLE
ACCESSORY DWELLING UNITS I want to build an in-law quarters on my property! How about a guesthouse? Maybe we need multi-generational living!? As prices have soared on first-time buyer housing and downsizing buyers, accessory dwelling units has become a hot topic around the country and is even gradually creeping into the Tri-Cities mentality. But before you get too crazy in creating that new space there are a few things you should consider. It’s not a one size fit all solution, and the cities and counties are struggling to catch up to our cultural lifestyle changes with practical building codes and regulations that allow this type of living setup. Accessory dwelling units (ADU) are the term used for these types of spaces that exist in single family residential homes. Not all counties and cities allow them, but the push is on for greater acceptance. If you ever visit Phoenix, Las Vegas, or other similar traditionally metro sun belt retirement areas, you will see more and more of this type of home and setup. An ADU is a smaller, independent residential dwelling unit located on the same lot as a stand-alone single-family home. ADUs can be internal converted portions of existing homes, attached additions to new or existing homes, or detached stand-alone accessory structures. The detached ADU can be new construction or a converted portion of an existing stand-alone accessory structure. Internal, attached, and detached ADUs all have the potential to benefit the community, its homeowners, and its tenants. Homeowners’ additional rental income may help pay their mortgage payment or offset the costs associated with the upkeep on their home. Renters may benefit from greater availability of moderately priced rental properties in single-family neighborhoods. Since the ADU is a small rental unit, it will usually rent at a price within the means of lower income persons. Handicapped renters can benefit from the opportunity to live independently in their own
home, but close enough to other people to get assistance if needed. The community is also offered a wider range of housing options created with little to no public expense. In many areas of the country, the existing inventory of rental housing falls markedly short of the demand causing affordability and availability issues. Tri-Cities is one of those regions. The Washington Employment Security Department reports that the area added nearly 8,000 jobs in the past two years, driving up demand for all types of housing and creating one of the tightest rental markets in Washington. In the fall of 2018, the Runstad Department of Real Estate at the University of Washington conducted a survey of 10,500 units and found a vacancy rate of 2.4% for one-bedroom units. ADUs are also well suited for lower income elderly. In addition to increasing affordability, the older homeowner may also gain companionship and needed services from the tenant in the ADU. The use of ADUs can assist the elderly to “age in place,” or stay near family as they age. In the case of a home that is owned by a single senior person living on a fixed income, the owner may choose to live in the smaller unit and rent out what was originally the primary residence. The ADU can provide a more appropriately sized living space and a higher rental income to help supplement their fixed income. There are numerous benefits to increasing the use of ADUs in our society, but there is opposition as well. The
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arguments against ADUs usually arise from neighborhood concerns about the perceived impacts ADUs might have on property values, density, neighborhood appearance, and increased parking and traffic congestion. From the perspective of some homeowners, ADUs may be viewed as a potential threat to the stability of single-family neighborhoods. Their frequent arguments are that the units should either not be allowed or, at least, closely controlled to avoid any potential negative impacts. For
neighborhoods. The challenge for policymakers is to find the right balance between the communityâ&#x20AC;&#x2122;s need for more appropriate and affordable housing, and the desire to preserve the quality of residential neighborhoods. While many cities in Washington have considered ordinances to allow ADUs in the past, the Washington Growth Management Act and, more recently, the Washington Housing Policy Act are now requiring cities to plan for and provide more affordable housing opportunities, including ADUs, in their communities. There are many opportunities for communities to be creative in meeting this challenge. ADUs are typically regulated either as a permitted use, with an administrative review, or as a conditional use, subject to a public hearing. Most zoning ordinances contain some definition of the term â&#x20AC;&#x153;accessory dwelling unit.â&#x20AC;? Virtually all ADU ordinances require that the owner reside in either the primary or the secondary unit. But there are several issues that can be decided differently depending upon community needs.
these homeowners, the most important goals may be to protect property values, neighborhood stability, and to preserve the single-family character of community
All of our local cities and counties do have some provisions in place to address ADUs as the demand grows. But it is a work in progress. Many of the structural and size requirements are set in stone and easily accessible on websites and in documents. But there are other zoning, special use or public hearing requirements that are subject to human review that may also be necessary. Anyone interested in purchasing, constructing or converting an ADU should first contact the city or county that governs planning and zoning for the subject property and get exact answers before banking on being able to create and utilize an ADU.
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/ 2019 FEATURE: BUSINESS
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FEATURE BUSINESS
SCOTT HOWELL COMMERCIAL BROKER | REALTORÂŽ Cell: 509.379.3111 scott@kenmoreteam.com
NORTHWEST INJURY CLINICS 3603 W Court St, Pasco, WA 99301
TEAM APPROACH Northwest Injury Clinicsâ&#x20AC;&#x2122; specialty is helping people find relief from pain. But what sets them apart from other medical providers is their personal treatment and complete team approach to helping their patients on their journey to wellness. Chiropractic care is their focus, but they offer comprehensive medical services, massage therapy, and physical therapy in one location to patients that have been injured in an accident. Dr. Aaron Jorgensen founded Northwest Injury Clinics with the belief that everyone deserves to have access to the highest, personal care available. He was raised in California and attended college at BYU, before starting his chiropractic career in Las Vegas. (Continued on next page) K E N M O R E Q U A R T E R LY
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While he was working in Las Vegas, he witnessed first-hand the advantages of providing patientcentered integrated healthcare including chiropractic care at the practice he worked in. When the opportunity to move to the Northwest with family arose, Dr. Jorgensen took the leap and started his journey to operating his own practice. The first clinic was small, but Dr. Jorgensen was on his way to building his team and his dream. Early on he formed a partnership with Physical Therapist Trevor Anderson and they worked together on Canal in Kennewick. The partnership was the launching point. Northwest Injury Clinics has grown tremendously since that small office, pushing them to 24 employees and two locations in Kennewick and Pasco. Their team of 20+ includes chiropractors, nurse practitioners, physicians assistants, physical therapists, massage therapists and administrative staff work together to give each patient just what they need on their road to recovery. Sometimes chiropractic care is all that is needed. But when more diagnosis or treatment is needed, it can be handled on site. The patient doesnâ&#x20AC;&#x2122;t have
to wait longer to gain relief while waiting for a new appointment with a different provider at some other time and location. The trained staff is on site to handle their needs at that appointment and for all necessary follow up visits. In 2013, a second location was opened in Pasco to expand their availability to more area residents in need. They continued to grow their services and their personnel in both cities. Dr. Jorgensen believed then, and now, in his team approach and giving access to as many area residents in need as possible. Growth and change are an integral part of that process of meeting demand. At the end of 2018, their Kennewick office moved to a newly remodeled larger space. Just this summer, Northwest Injury Clinics took on its largest project so far - partnering with Scott Howell with the Kenmore Team Commercial Division, Northwest Inury Clinics purchased and customizing a 4,000 square foot office on Court Street in Pasco giving them greater visibility and patient access. Patients are the number one priority. You will hear that repeatedly from Dr. Jorgensen or read it on their website and informational materials. That
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sounds like an obvious statement from a health care provider. But he believes that often isn’t the experience patients with injuries experience. Many chiropractors are good at what they do. But they are only able to offer chiropractic services, and often on a long-term treatment plan that includes months and months of regular visits. Northwest Injury Clinics goal is accurate assessment, and customized treatment to create patient independence in a shorter amount of time. That treatment may include pain treatment, massage, adjustment, and physical therapy, and the clinic can help see the patient all the way through the process. Dr. Jorgensen and his staff want the best results for our patients and that involves working hard to give them cared based on the best evidence. No matter who they are, where they are from or what has happened to them, the customer is treated with dignity and respect. “The more tools you have in your toolbox, the more likely you are to have the right tool.” - Dr. Aaron Jorgensen Northwest Injury Clinics wants to make the recovery process simpler and easier for their patients. This includes shrinking the amount of time it takes to
get an appointment and the number of visits until a patient is well. The caregivers and staff are also bilingual, so they are able to communicate directly with a wider base of patients and communicate. They have staff that offer joint injections, prescriptions, soft tissue manipulation including Active Release Technique (ART), Graston Technique, McKenzie Method (MDT), massage, and physical therapy. This wide array of services means the staff is highly trained in various areas of the body that work together and require different treatments to complete the plan for each individual to recover. A normal course of treatment for most patients of Northwest Injury Clinics is three to four visits. The approach taken by Dr. Jorgensen’s practice is to create patient independence instead of patient dependence. Their goal is for the patient will leave with a clear path to continue to help themselves. Dr. Jorgensen says, we believe in “evidence based, patient centered care.” Northwest Injury Clinics nwspinalrehab.com 509.735.3555 Facebook @nwspinalrehab
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COMMERCIAL DIVISION
Nka Kennedy Road, West Richland $199,900 | 1.45 Acres MLS # 237637 Commercial lot in growing area of West Richland. Excellent site for mini storage or office/warehouse flex space. Owner has engineered plans for mini storage facility to be included with sale. Lot frontage on Kennedy and Arena Roads.
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COMMERCIAL STATISTICS Properties for Sale: 18 Properties for Lease: 26 Land for sale: 7 parcels Available Industrial Spaces: 7 Available Office Spaces: 19 Available Retail Spaces: 8 Hotels for Sale: 1 Restaurants for Sale: 2
QUARTER 3 NOTABLE TRANSACTIONS Purchases and leases represented by the Kenmore Team Commercial Division in the third quarter of 2019. It was a pleasure working with each of these local businesses and we wish them success within the community!
GRAFEIO LLC Owner – 7105 W Hood Ave, #B-201, Kennewick
KENDEL HOLDINGS LLC Purchased – 814 & 824 W Lewis St, Pasco
FRANCO VALLEJOS Sold – 422 W. Kennewick Ave, Kennewick
BAS QUINCY LLC Leased - 8390 W Gage Blvd, #203, Kennewick
DESERT SKY WOMEN’S HEALTH CLINIC, INC. Leased – 4309 W 27th Pl, #300, Kennewick
AURORA MORGAN, LMP Leased – 15 N Cascade St, Kennewick Craff Properties LLC Owner – 15 N Cascade St, Kennewick K E N M O R E Q U A R T E R LY
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/ 2019 COMMERCIAL: ARTICLE
INVESTING IN OPPORTUNITY ZONES Investors looking for another way to diversify their portfolio have a newly available investment strategy through Opportunity Zones and Opportunity Funds. Taxpayers who invest in Qualified Opportunity Zones are eligible to benefit from capital gains tax incentives accessible exclusively through this new federal legislation. Temporary tax deferral, step-up in basis, and capital gains tax elimination are the three major tax advantages. A portion of the 8,700 Opportunity Zones designated across the United States and its territories exist in the Tri-Cities. The Opportunity Zones program was part of the federal government’s Tax Cut and Jobs Act of 2017 designed to revitalize economically distressed communities using private investments rather than taxpayer dollars. The map shows the general area of these zones in our region where investing in property, land, or business may qualify for the breaks. Opportunity Zone investing is less restrictive, less costly, and less contingent upon government agencies than other tax credit programs intended to encourage private investment in low-income areas through tax benefits. Investors can receive substantial tax deferral, tax-free growth, and other benefits through this program. For example, if an investor in the 20 percent tax bracket has a $2 million gain from the sale of stocks or bonds, property, or an interest in a partnership, they would owe $400,000 in capital gains tax. But instead of paying that tax, the investor reinvests the $2 million in an Opportunity Fund. By doing so, the tax due on those gains is deferred until the earlier of selling the investor’s interest in the Fund or December 31, 2026. The biggest advantage comes when the investor holds the investment for more than 10 years. Any gains
made on that investment are tax-free! The investor pays ZERO capital gains tax on all the appreciation above and beyond the $2 million. So even if the $2 million turned into $3 million, that $1 million in lift realized through investing in the Opportunity Fund is tax-free. The program offers significant tax breaks, but the investor must do more than purchase a business or property in an Opportunity Zone and wait to automatically receive the tax advantages. In order to realize the breaks, all realized gains must be reinvested into a qualified Opportunity Fund within 180 days and the investor must elect to defer the gains on their annual federal tax return. Opportunity Funds are private sector partnerships or corporations that invest at least 90 percent of their capital in businesses, real estate and business assets within the federally designated Opportunity Zone. The properties the fund invests in, either directly or indirectly, are required to either be new and commence their new use upon investment or meet a “substantial improvement” requirement within 30 months. Investors can use an existing third-party Opportunity Fund or create their own. To become a qualified Opportunity Fund, an eligible taxpayer self-certifies by completing the appropriate IRS form and the submitting the form with their federal income tax return. The Sponsor or Fund Manager must also abide by the requirements for Opportunity Funds established by the IRS. While only qualifying capital gain investments are eligible for Opportunity Zone tax benefits, a fund can pool eligible capital gains and other capital.
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Similar tax advantages are available to investors with 1031 Exchanges and other government tax incentives. Each have their own distinct requirements, advantages, and disadvantages determined by the individual investorâ&#x20AC;&#x2122;s situation. Typically, Opportunity Zones are better suited for investors who plan on holding on to their investment for at least 10 years and then selling it within their lifetime. But it is important for any investor contemplating this new opportunity to educate themselves on all the US Treasury Department and IRS qualifications and laws. The best way to explore the opportunities and take advantage of this program is to consult with trusted real estate, tax and finance professionals.
FOR MORE INFORMATION IRS Opportunity Zone Information: www.irs.gov/newsroom/opportunity-zones-frequently-asked-questions
U.S. Treasury Department Infofmation: www.cdfifund.gov/Pages/Opportunity-Zones.aspx
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/ 2019 COMMERCIAL PROPERTY: FOR SALE
DAVID FRITCH COMMERCIAL BROKER | REALTOR® Cell: 509.438.6260 david@kenmoreteam.com
306 S 7th Street, Prosser $400,000 | 3,582 sqft | MLS # 237078 Excellent location on busy corner. Updated and rewired in 2011, brought up to current codes/ standards. Very well designed kitchen for efficiency and volume. Tons of parking and includes an additional parcel. Three dining areas with separate wait stations. Seats 113 people. Extensive list of kitchen equipment included in sale.
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/ 2019 COMMERCIAL PROPERTY: FOR LEASE
SCOTT HOWELL COMMERCIAL BROKER | REALTOR® Cell: 509.379.3111 scott@kenmoreteam.com
2615 W Kennewick Avenue Kennewick $756,000 | 9,968 sqft | MLS # 238965 Owner/user opportunity in prime Community Commercial zoned space right off Highway 395 in Kennewick. Large shop/warehouse with 11’ ceilings, 2 roll up doors (one back and one front), and 1,044 sq ft showroom in front portion of the building. Other end cap of building is long term restaurant tenant for great investment. HVAC in showroom and restaurant space. No HVAC in shop/ warehouse space. Lease and financial information provided with signed NDA.
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/ 2019 COMMERCIAL PROPERTY: FOR LEASE
DAVID FRITCH COMMERCIAL BROKER | REALTOR® Cell: 509.438.6260 david@kenmoreteam.com
2555 S Quillan Place, Kennewick $1,050,000 | 3,944 sqft | MLS # 240669 Fantastic office building constructed in 2015 with excellent Hwy 395 exposure and large lighted pylon sign. Building has two similar sized suites with one side currently leased, and the other side available for owner/occupant. Lots of parking and easy access to Union, 27th Avenue, and Highway 395 in growing area of south Kennewick.
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2564 Robertson Drive, Richland FOR LEASE - $8 | 7,500 sqft | MLS # 235102 New warehouse space available November 1 in Medium Industrial zone. Minimum 1,500 sq ft and up to 7,500 contiguous sq ft available. Office space buildout can be negotiated as needed. Fenced lay down yard. Easy access off Highway 240 in Horn Rapids Industrial Park area. NNN lease at $7.80 per sq ft for warehouse space and $13.80 per sq ft for office space.
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SCOTT HOWELL COMMERCIAL BROKER | REALTOR® Cell: 509.379.3111 scott@kenmoreteam.com
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/ 2019 FEATURE: BUSINESS
WEEKEND WARRIORS REJOICE!
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FEATURE BUSINESS RDO LAWN & LAND STORE 845 N Columbia Center Blvd #B, Kennewick
YOU MAY HAVE NOTICED THE SEA OF JOHN DEERE GREEN while driving on Grandridge Boulevard in Kennewick this summer. The rows of shiny new equipment and the updated building exterior are hard to miss. RDO Equipment has been in business for years in Pasco but opened a new Lawn and Land Store in late spring on the south end of the existing Ranch & Home store. RDO is mainly known locally for selling and servicing agriculture equipment for farmers but they also have other lines including construction, controls, irrigation, Vermeer service and lawn equipment. The company has always sold and serviced lawn equipment, but it was mixed in together with their farm equipment and the location was a little out of the way for most of TriCities. The new store is in an excellent visible location that is much more centrally located. Store Manager Marcus Braswell had the vision for many years of opening a store that would cater to private homeowners and commercial landscapers. RDO only has one other similar store throughout the United States. RDO Equipment began in 1968 as a smalltown farming equipment dealership in North Dakota by a young farmer from Minnesota. Today RDO has 75 stores in nine states, selling and supporting equipment from leading manufacturers including John Deere, Vermeer, and Topcon. The newest Lawn and Land store K E N M O R E Q U A R T E R LY
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features equipment and tools for sale to fit smaller suburban yards to multi-acre lawns. They have a broad inventory of lawn tractors, Zero-Turn mowers, compact tractors, and Gator utility vehicles as well as smaller tools and parts. Customers can stop in and see the products they are interested in and ask questions on site. For the John Deere enthusiast, the store features all kinds of other branded products including clothing, hats, toys, bikes, and more.
store, and they offer a unique “Ready to Mow” mobile service where the technician comes to your home to service your lawn equipment. They will change oil and air filters, level the deck, sharpen blades and more – all without hauling your equipment away from your property!
The new store is open Monday through Saturday from 8 am to 7 pm for sales, parts and service. Customers don’t need an appointment – they can just stop in Not only does the new store offer retail sales but to shop or drop off their equipment and will receive they feature a full-service shop that repairs all makes an estimate of when it will be ready. Their seven site and models of lawn and garden equipment. RDO employees can help answer your questions, sell you a converted their new space from an old storage and new tool, or get your equipment running again. auto repair shop to a big open showroom with huge service bays. They have lots of parts available on site RDO LAWN & LAND STORE and can also order anything else that customers need. 509.579.4446 Winter and spring tune-up services are available at the Facebook @RDOEquipmentKennewickWALawnAndLand resid ent ia l | p ro pe r t y ma n a g e me nt | co mme rc i a l | F E AT U R E
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PROPERTY MANAGEMENT DIVISION 2448 Tiger Lane, Richland More on page 53
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Kenmore Team Property Management Rental units
223 DOORS
Average applicants per property
2
Average turn over
21 MONTHS Average days vacant
19
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/ 2019 PROPERTY MANAGEMENT: ARTICLE
FAIR HOUSING IN PROPERTY MANAGEMENT
In the last month we have had to sit down with a number of our clients and have ‘tough’ discussions about fair housing. You don’t need to be a management pro, real estate expert or professional contractor to own residential rental properties. You do need to understand the laws, regulations and requirements applicable to everything associated with owning and renting your property to be a good landlord. One of the most critical elements is finding the right tenant for your property and getting them through the screening process. If this is done well, many common landlord issues can be avoided from the beginning. At first glance, that doesn’t sound too hard. Place a sign in the window or an ad online and see who contacts you. Ask the prospective tenants some questions and decide who you think is best. It’s your property and you get to choose, right!? The problem is that the process is regulated for the protection of all parties, and people have specific rights when it comes to housing. Landlords can easily, and even unknowingly, take possible discriminatory actions based on their unconscious biases. The Civil Rights Act of 1866 guaranteed property rights to all, regardless of race. The passage of the federal Fair Housing Act in 1968 generated the true revolution in fair housing by prohibiting discrimination based on color, national origin, religion, and sex. Twenty years later, the Fair Housing Amendments Act added two more protected classes – families and disabilities. The Washington State Fair Housing Law expands on the federal Fair Housing Act adding eight more protected classes. All this legislation aims to ensure that rental applicants, prospective tenants and current tenants don’t get treated differently because of certain characteristics or attributes but can be
overwhelming to navigate. When it comes to all 14 of these protected classes, a key issue with compliance is a landlord treating prospects and tenants differently because of their underlying characteristics. All landlords and property managers should establish standard tenant screening and selection processes and apply them equally and consistently. The selection process should include credit and background checks on all adults who will be living in the property, proof of income to ensure the tenant can afford to pay rent each month, and rental history and references. Landlords can legally reject applicants, evict tenants, and take other adverse action against people who may be protected under the FHA or WSFHL if the reasons are legitimate and unrelated to any protected class. For example, a landlord who rejects an applicant because she is expecting and of a “specific religion” is violating the FHA ban on discrimination based on familial status and religion. But a landlord who rejects this applicant because she has poor credit or can’t afford the rent isn’t violating the FHA if the landlord applies the same screening requirements to every applicant. Not only can a landlord legally reject this applicant for poor credit, but they should do so to avoid claims of reverse discrimination. For example, say a landlord accepts the application of an expectant mother of a “specific religion” despite her not meeting the property’s tenant screening requirements, out of fear that she’ll bring a discrimination claim. Taking such action means the landlord is discriminating in favor of the applicant, and against other applicants, based on familial status and religion. The federal and state housing rights laws are continually
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afforded to tenants after they have signed the lease and are living in the property. For instance, sending violation notices to a Hispanic resident who breaks a rule, but not to a Caucasian resident who breaks the same rule, charging additional deposits to families with children or to wheelchair users, or allowing Ukrainian residents but not Vietnamese to use the pool would all be illegal. Here are a few examples of actions that are illegal for a Landlord to take based on any of the federal and state protected classes: • Deny that a rental is not available when it is available • Refuse to rent housing • Discourage the rental of a dwelling • Refuse to negotiate for housing • Otherwise make housing unavailable • Set different terms, conditions or privileges for rental of a dwelling • Provide a person different housing services or facilities • Make, print or publish any notice, statement or advertisement with respect to the rental of a dwelling that indicates any preference, limitation or discrimination • Impose different rental charges for the rental of a dwelling • Use different qualification criteria or applications, or rental standards or procedures, such as income standards, application requirements, application fees, credit analyses, rental approval procedures or other requirements
• Harass a person • Fail or delay performance of maintenance or repairs • Limit privileges, services or facilities of a dwelling • Assign a person to a building or neighborhood or section of a building or neighborhood The rights and discrimination laws applicable to landlords, prospective tenants, and tenants are only one important piece of the puzzle in owning and managing rental properties. Operating rental properties takes considerable attention to detail to be successful. Landlords should research all antidiscrimination laws in depth, both state and federal, to learn more about protected classes. They should rely on an objective screening process to determine if applicants meet their predetermined criteria. Screening them on a first-come, first-served basis is a fair and safe practice to avoid discrimination. All applicants should receive clear and consistent information about all housing options, including waiting lists. Communication is key! While some landlords choose to tackle all these responsibilities themselves, hiring a professional property management company can help mitigate the homeowner’s risk, save some added stress, and free up time. The property management companies specialize in understanding and implementing the laws and practices necessary to manage rental properties and applying them equally and without bias to all. Although this is an added expense, it can be well worth it to ensure the property is rented to quality tenants and help avoid costly lawsuits and legal issues.
• Evict a tenant or a tenant’s guest
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R.J. LANGE
/ 2019 PROPERTY MANAGEMENT DIVISION
PROPERTY MANAGER | REALTORÂŽ Cell: 509.420.3137 rj@kenmoreteam.com
5772 W. Albany Place, #110, Kennewick $1,395 | 3 BED | 2 baTH | 1354 sqft Beautiful and brand new, this townhouse is 2-story with 3 bedrooms, 2 bath. Main living space is open with hard surface flooring and lots of light. The kitchen has granite counter tops with a breakfast bar, subway tile back splash and stainless appliances. Master bedroom has a en suite bathroom and walk-in closet. And the other 2 bedrooms are a comfortable size with good closet space. Washer & Dryer included! 1 car attached garage. Private fenced backyard. Allows for 1 dog with a fee. For more information and to schedule a showing visit www.kenmoreteampropertymanagement.com
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5410 Remington Drive, Pasco $1,795 | 3 BED | 3 baTH | 1616 sqft This modern townhouse in west Pasco is over 1600 square feet with 3 bedrooms and 2.5 bathrooms. The main living space is bright and open with hard surface flooring and a spacious kitchen with brand new stainless steel appliances including a gas range (Fridge will be installed by move in). The master bedroom has a lovely en suite bathroom a double vanity and lots of storage space. Excellent closet space in the other 2 bedrooms. Washer and dryer are included! Attached 2-car garage. Fully fenced back yard with a patio. Small dog friendly with a fee. For more information and to schedule a showing visit www.kenmoreteampropertymanagement. com
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/ 2019 PROPERTY MANAGEMENT DIVISION
BRETT PATRICK PROPERTY MANAGER | REALTORÂŽ Cell: 509.947.0242 brett@kenmoreteam.com
2665 Maidstone Street, Richland $2,295 / 3 BED / 4 baTH / 2841 sqft This amazing, large rental is 2841 sqft. with 3 bedrooms, 4 bathrooms, and an office. The main living spaces feature an airy formal living room and dining room with vaulted ceilings that flow into the open-concept kitchen & family room. The kitchen has stone counter tops, walk-in pantry and every appliance needed with an over-sized island for eating at in addition to the breakfast nook space. The family room space has a gas fireplace and big windows for lots of light. It opens onto one of the decks in the lush backyard. The master has an amazing en suite bathroom with double vanity, jetted tub and glass enclosed shower plus access to a private deck off the bedroom. 2 additional bedrooms plus an office with wood floors and glass french doors. The laundry room has a sink, storage closet, cabinets & a clothing rod for hangto-dry items. The bonus room is located upstairs and is huge with vaulted ceilings, a sky light and half bathroom. Garden-like back yard with mature landscaping and a private feel. 3 car garage. Tankless water heater for high energy efficiency. Lots of storage. Access to horn rapids Clubhouse and Pool! No pets. For more information and to schedule a showing visit www.kenmoreteampropertymanagement.com resid ent ia l | P R O P E R T Y M A N AG E M E N T | co mme rc i a l | fe atu re
2448 Tiger Lane, Richland $2,695 | 3 BED | 2 BATH | 2818 sqft This lovely and large home is just over 2800 square feet with 3 bedrooms, 2 bathrooms and a bonus room/office. The main living space is a large, open-concept space with a gourmet-style kitchen that includes every appliance needed including the over-sized luxury fridge and a large walk-in pantry with wine cooler. The living room has recessed lighting, built-in cabinetry and a gas fireplace. The bonus room/office is a great-sized space and the laundry room is quite large with tons of cabinet & counter top space, sink and washer/dryer provided. The master bedroom has raised ceilings, modern ceiling fan and a door to the back patio. The attached en suite bathroom has a double vanity with lots of storage and walk-in shower. Large, covered back patio with a hot tub! 3-car attached garage and 3rd bay has a taller 14 -foot door For more information and to schedule a showing visit www.kenmoreteampropertymanagement. com
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RESIDENTIAL DIVISION LORI THOMPSON EXECUTIVE ASSISTANT Cell: 509.539.6715 lori@kenmoreteam.com
RYAN ROSE INSIDE SALES AGENT REALTOR® Cell: 509.987.4544 ryan@kenmoreteam.com
JORDAN DE GROOT MARKETING & PHOTO SPECIALIST Office: 509.735.1025 jordan@kenmoreteam.com
TESSA GOMEZ Support Specialist
REALTOR® Cell: 509.551.5040 tessa@kenmoreteam.com
CLOSING C O O R D I N AT O R S HOLLY DAVIS closing coordinator
LANCE KENMORE
KAREN KENMORE
DESIGNATED BROKER REALTOR® Cell: 509.727.8977 lance@kenmoreteam.com
OPERATIONS DIRECTOR REALTOR® Cell: 509.727.8979 karen@kenmoreteam.com
REALTOR® Cell: 509.627.8393 holly@kenmoreteam.com
KIMBERLY BRECKON ROSE closing coordinator
REALTOR® Cell: 509.627.9266 kim@kenmoreteam.com
DAVID PRICE
KENMORE TEAM / 509.735.1025
8927 W Tucannon Ave, Ste. 201, Kennewick 99336
closing coordinator
REALTOR® Cell: 509.627.8961 davidprice@kenmoreteam.com
BUYER SPECIALISTS
LISTING SPECIALISTS
P R O P E RT Y MANAGEMENT
JEREMY ASMUS
ALEX BURDEN
R.J. LANGE
BUYER SPECIALIST MANAGING BROKER REALTOR® Cell: 509.551.7940 jeremy@kenmoreteam.com
LISTING SPECIALIST MANAGING BROKER REALTOR® Cell: 509.438.7414 alex@kenmoreteam.com
PROPERTY MANAGER MANAGING BROKER REALTOR® Cell: 509.420.3137 rj@kenmoreteam.com
CINDY PATRICK BUYER SPECIALIST REALTOR® Cell: 509.430.2121 cindy@kenmoreteam.com
JESSICA HOLLANDSWORTH
KELLEN ADCOCK LISTING SPECIALIST REALTOR® Cell: 509.554.0460 kellen@kenmoreteam.com
CURTIS DAHL
BUYER SPECIALIST REALTOR® Cell: 509.460.8077 jessica@kenmoreteam.com
LISTING SPECIALIST REALTOR® Cell: 509.531.2729 curtis@kenmoreteam.com
SARAH MACHIELA
LISTING C O O R D I N AT O R S
BUYER SPECIALIST REALTOR® Cell: 509.591.2026 sarah@kenmoreteam.com
TYSON JONES BUYER SPECIALIST REALTOR® Cell: 509.845.0856 tyson@kenmoreteam.com
SHOWING PA R T N E R TY MCNUTT SHOWING PARTNER REALTOR® Cell: 509.302.0869 ty@kenmoreteam.com
TERRA DYE LISTING COORDINATOR REALTOR® Cell: 509.378.6668 terra@kenmoreteam.com
HEATHER BANNING LISTING COORDINATOR REALTOR® Cell: 509.627.9095 heather@kenmoreteam.com
CONSTRUCTION SERVICES
BRETT PATRICK ASSISTANT MANAGER REALTOR® Cell: 509.947.0242 brett@kenmoreteam.com
JULIE COLLINS OPERATIONS MANAGER Cell: 509.987.4409 julie@kenmoreteam.com
COMMERCIAL SCOTT HOWELL COMMERCIAL BROKER REALTOR® Cell: 509.379.3111 scott@kenmoreteam.com
DAVID FRITCH COMMERCIAL BROKER REALTOR® Cell: 509.438.6260 david@kenmoreteam.com
CARRIE PERRY OPERATIONS MANAGER REALTOR® Cell: 509.581.9899 carrie@kenmoreteam.com
JOSE CAMPOS PROJECT MANAGER LICENSED CONTRACTOR Cell: 509.551.2505 jose@kenmoreteam.com K E N M O R E Q U A R T E R LY
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QUARTER: THREE