Molbak's announces it is closing in Woodinville

After growing its Woodinville roots for 67 years, Molbak's Garden + Home is shutting down its business.

"After considering many different possibilities and a great deal of discussion with the Molbak family, we’ve determined that we no longer have a path forward," Molbak's CEO Julie Kouhia wrote in an online statement.

"Over the next few weeks, we will be putting together a plan to shut down operations and permanently close Molbak’s. Our main goal is to close down with integrity and in a way that respects our employees, vendors and customers. We also want to find a way to celebrate the history, impact and joy of Molbak’s. We are working on a transition plan and will share more details with you in early January."

As KUOW has reported in late November, and Soundside has covered, Molbak's was founded by immigrants from Denmark, Egon and Laina Molbak, in 1956 — a time when the area was far more rural. The garden center grew over the decades as Woodinville took shape around it.

In 2008, the business sold 19 acres of its property to a developer, The Seattle Times reports, with an understanding that Molbak's would be the center of a new development. That project was slated to include apartments and stores.

Instead, Molbak's became the center of a recent drama unfolding in Woodinville.

Molbak's accused the developer — Green Partners, which is operated by Bill Gates' Cascade Asset Management Company — of pushing the legacy business out of the project plans. Green Partners has denied this allegation, and has argued that it never planned to remove Molbak's from its current location. A November statement from the developer further said:

"While Cascade is no longer planning to develop the Gardens District, we had been negotiating with Mr. Molbak toward the inclusion of his family’s business as a key feature of a possible future Gardens District. However, Mr. Molbak upended the discussions even in the face of Cascade’s offer of concessions, including free rent. We expect that the Gardens District will serve the needs of Woodinville, regardless of what Molbak’s decides is in its interest."

Since November, Molbak's and Green Partners entered into mediation, according to Kouhia, Molbak's CEO. She said in her statement that the mediation effort was not successful, and that "Despite our best efforts, we have not been able to come to an agreement with Green Partners that would allow us to stay in our current location in Woodinville."

Kouhia maintained that Green Partners "kicked" Molbak's out of the Green Gardens development project.

According to the business, Molbak's employs about 70 people, as well as dozens of part-time and seasonal employees.