City Approves Environmental Determination Opening Wild Waves Site to Manufacturing Uses

The city of Federal Way has determined that the property formerly occupied by Wild Waves Theme & Water Park is suitable for primary manufacturing uses, opening the door for potential industrial redevelopment of the site, as Kent Reporter reported.

On Oct. 30, Federal Way Community Development Director Keith Niven issued a determination stating that a proposed amendment to the property’s development agreement to permit manufacturing as a primary use does not carry a probable significant adverse impact on the environment. As a result of Niven's determination, the city will not require an environmental impact statement for the proposed code change.

The determination follows the official closure of the long-standing theme and water park on Nov. 1. Former park operator Jeff Stock stated that operating the facility was no longer financially viable. Following that decision, Stock evaluated several potential options for the location before focusing on the proposed Podium I-5 project.

While Niven’s decision clears a key regulatory step for changing the property’s allowed uses, city officials emphasized that the current decision only addresses amending the land use framework, not approving specific construction. The property is currently governed by a Concomitant Development Agreement (CDA) that was initially adopted in 1998 for a 30-year term to dictate allowed uses and operating conditions. The pending proposal seeks solely to amend this agreement to list manufacturing as an allowed primary use on the land.

A separate application for the Podium I-5 project is presently under review by city planners. That proposal involves removing all existing site improvements across the property to construct a tilt-up concrete industrial shell building measuring approximately 1 million square feet. The proposed building would be dedicated to warehouse and office space. Additional site improvements outlined in that separate application include new property access, vehicle parking, updated utilities, landscaping, and stormwater management systems.

The environmental review for the land use change was conducted by principal planner Stacey Welsh through a State Environmental Policy Act (SEPA) Environmental Checklist. Welsh’s evaluation focused exclusively on the potential environmental consequences of changing the property's designated use within the development agreement.

In her review, Welsh noted that altering the development agreement would not lead to immediate impacts regarding water discharge, air emissions, noise production, or the handling of hazardous substances. However, she noted that any future manufacturing operations situated on the property could increase those factors over time due to operational activities and a higher volume of truck traffic accessing the site.

Regarding biological resources, Welsh concluded that plants, animals, fish, or marine life on the parcel are unlikely to be affected by the land use change because the site is already developed. The property contains a wetland that remains subject to local critical areas regulations. However, the site does not encompass any public parks, designated wilderness areas, wild and scenic rivers, threatened or endangered species habitats, floodplains, or prime agricultural farmlands.

City officials noted that any concrete construction plans submitted for the parcel in the future, including the Podium I-5 project, must undergo site-specific and project-specific environmental reviews. Those future proposals will be required to demonstrate full compliance with applicable municipal codes and development standards designed to protect the surrounding environment.

Traffic considerations will also play a central role in subsequent reviews. Welsh indicated that future development projects on the land will likely generate increased vehicle trips. Preliminary trip generation estimates prepared by the city show an overall increase in vehicle traffic associated with a manufacturing use. Consequently, developers will be required to submit a professional transportation impact analysis report during the review process for any specific project proposal.

The city of Federal Way is holding a 14-day public comment window before taking further action on the proposed development agreement amendment. Community members and interested parties may submit written comments to the Department of Community Development by 5 p.m. on Nov. 13, 2026, by emailing [email protected].

If the city does not modify the environmental determination based on public input, the decision will become final after the Nov. 13 deadline. Residents retain the right to formally appeal the determination through Dec. 1. Appeals must be submitted in writing and accompanied by the required appeal fee. The filing must detail specific factual objections and outline the precise legal or procedural reasons why the city's determination is alleged to be in error.