The first building will take up about 16 acres of the 59.57-acresite at Airtex Drive and Interstate 45. Similar industrial projectshave gone vertical for $50 per sf to $60 per sf. The quoted leaserate is 42 cents per sf, triple net, with a $5 per sftenant-improvement allowance.

Justin Bennett, Panattoni's development manager in Houston, saysAirtex Industrial Center is the developer's re-emergence into theregion's industrial market after a long hiatus. The park'sremaining 34 acres will be developed as the market dictatesalthough Bennett does say build-to-suit retail or office would bethe best uses for the site.

Bennett says excellent opportunity exists in the north submarketfor big-box industrial developments. He points out to GlobeSt.comthat the area hasn't typically been a haven for big-box product,but adds industrial deals are tending to be larger than in thepast.