Pinecroft LLC, developer of the Pinecroft Business Park in Spokane Valley, has started construction of a $12 million office building that will be occupied by the Spokane operations of Seattle-based F5 Inc., a tech company that specializes in application security and multi-cloud management.

“F5 entered into a long-term, leased build-to-suit agreement,” says Marc Mowrer, director of commercial real estate for Leavitt Capital Cos. “We really try to place groups where they can have long-term viability and long-term success within the park.”

The one-story, 57,000-square-foot building is being built on a five-acre-parcel at 12520 E. Pinecroft Way, at the corner of Cherry Street and Pinecroft Way and a block west of Pines Road. 

Mowrer declines to disclose the value of the new building. According to permits on file with the City of Spokane Valley, the construction cost is estimated at $6.9 million. Once complete, the estimated value of the building is listed at $12 million.

Divcon Inc., of Spokane Valley, is the general contractor on the project. MMEC Architecture, of Spokane, is listed as the architect on permits filed with Spokane Valley. 

F5 currently operates out of two Liberty Lake buildings, one at 23321 E. Knox and another two miles to the west at 1322 N. Whitman Lane. As the Journal previously reported, the company will consolidate operations of the two locations, which house a total of 250 employees, in the structure.

Pinecroft Business Park has 17 buildings with a total of 300,000 square feet of office and industrial space on a total of 90 acres of land. Additional undeveloped lots remain available for future development, Mowrer says. 

“The entire northeast section of the property that sits on the river is undeveloped,” he says. “It’s been kept intentionally undeveloped because we wait for groups like F5 to come along and thoughtfully build here and provide architectural continuity amongst the buildings.”

Mowrer says the new F5 building will be similar in design to the other structures and is “like a bat-wing type project that allows for their functions to work harmoniously together.” 

The business park currently is home to offices for several large organizations, including Boeing Employee Credit Union, Northwestern Mutual, and Veteran’s Evaluation Services. 

Leavitt Capital handles all leasing and sales for the park, including the relatively recent sale of a 45,000-square-foot office building at 12809 E. Mirabeau Parkway, Mowrer says. Spokane Regional Emergency Communications acquired that office building for $9.1 million last December. 

F5 was founded in 1996 and has grown to a multinational company with 75 offices across 43 countries, including San Jose, Calif.; London, England; and Tel Aviv, Israel.

F5 reported a total 2025 fiscal revenue of $766 million, up from $693 million the year before. On July 8, stock in F5 (Nasdaq: FFIV) closed at $300.52 per share, down from a 52-week high of $313, but above its 52-week low of $170.21.