Killian Pacific, the commercial real estate firm that purchased and renovated the Box Factory in southwest Bend, has turned its attention to Bend’s east side.

In October, the Vancouver, Washington-based firm acquired Neff Place, the building at 1500 NE Cushing Drive that houses the second Bend locations of Jackson’s Corner and Cafe Yumm, as well as a Sport Clips barber shop. The acquisition, which also includes a 7,000-square-foot parcel to the east of the building, was purchased for $4.019 million, according to Deschutes County property records.

Jeremy McPherson, development manager for Killian Pacific, said the purchase was a chance to take advantage of an underserved market for restaurants in eastern Bend.

“I think there’s still a lot of interest in restaurants on the east side,” McPherson said Wednesday.

While locally owned restaurants have popped up across Bend in recent years, the stretch of Neff Road near St. Charles Bend has mostly been bypassed. However, the east side of town has seen an influx of new single- and multifamily developments, with new apartment complexes like Bellevue Crossing and Outlook at Pilot Butte coming online in the area. Jay Lyons, broker for Compass Commercial Real Estate Services, in Bend, said developers typically look at the number of surrounding residences when considering a restaurant complex.

“I think this project has really exceeded expectations,” Lyons said of Neff Place.

Furthermore, Neff Place is across the street from St. Charles, the largest employer in the region by a significant margin. Without other dining options in the region, McPherson said Neff Place is well-positioned to serve St. Charles employees looking for options within walking distance.

“Having more options where (employees) don’t have to get into their cars is very appealing,” McPherson said.

Right now, Killian Pacific is focused on filling the fourth and final space in the building. McPherson said the company is looking at retail businesses that could be compatible with Sport Clips without putting too much additional strain on the area’s already-taxed parking lot.

Similarly, he said, the company is listening to businesses interested in leasing the adjacent 7,000-square-foot parcel but will hold off on developing it until he has a better sense of how to allocate parking for the area. He suggested the building could house additional commercial or medical buildings in the future.

“Right now, there is not one plan,” McPherson said of the parcel.

He added that the acquisition provides Killian Pacific with an opportunity to expand its footprint in Central Oregon. The firm purchased the Box Factory, located at 550 SW Industrial Way, for around $6.4 million in 2013, according to The Bulletin’s archives. In the last three years, the retail center has seen its occupancy rate more than triple.

He said that Killian Pacific is exploring building a mixed-use development to the east of the Box Factory if the city re-zones the area.

— Reporter: 541-617-7818, shamway@bendbulletin.com