EastGroup Properties Enters Miami-Dade Industrial Market
The $23-million project will begin with a 200,000-square-foot building and is expected to be delivered at the end of this year. T
MIAMI—Industrial REIT EastGroup Properties Inc. has officially entered the Miami-Dade industrial market with the recent groundbreaking for its Gateway Commerce Park in Miami Gardens.
The Ridgeland, MS-based firm has commenced construction on the first of a planned five buildings for the 850,000-square-foot complex. The $23-million project will begin with a 200,000-square-foot building and is expected to be delivered at the end of this year. The 61-acre Gateway Commerce Park will offer tenants space ranging from 30,000 square feet to a full 200,000-square-foot building and features direct frontage to the Florida Turnpike.
The project marks the company’s entrance into the Miami-Dade market. The firm maintains a regional office in Orlando and property management offices in Jacksonville, Fort Lauderdale and Tampa.
JLL’s industrial team of Brian Smith, Audley Bosh, Matt Maciag and Juan Rodriguez are spearheading leasing efforts for Gateway Commerce Park for EastGroup Properties. The ownership hopes to attract heavy volume logistics and supply chain firms, distributors and e-commerce-related tenants.
Gateway Commerce Park is located on the Florida Turnpike at the NW 27th Avenue exit and offers direct access to major highways, including Interstate 95, Interstate 75 and the Palmetto Expressway. The development will feature Class A industrial space built with hurricane-impact glass, concrete tilt wall, Early Suppression Fast Response (ESFR) sprinklers, dock high-rear loading. The park will provide a parking ratio of 1.25 per 1,000 square feet. The buildings’ architectural design will feature “unique aesthetic details” and LED lighting, EastGroup Properties states.
“The timing is right for a project of this magnitude given the strength of the region’s industrial real estate market and the demand for Class A space with excellent roadway connectivity and access to dense populations,” JLL’s Bosch says. “The robust transit infrastructure surrounding the property and access to more than one million people within seven miles, plus the ability to serve South Florida from a central point, makes this an attractive offering for companies seeking quality industrial space in South Florida.”
JLL in its first quarter industrial market report for the Miami-Dade market noted that the region is reaching the height of its growth cycle in terms of industrial rental rates and also stated that activity has picked up in industrial investment sales as well. Leasing activity continues to trend upward, according to the report, with at least four 100,00-square-foot deals signed during the first three months of this year.
EastGroup Properties boasts a portfolio of more than 40 million square feet of commercial real estate nationwide, including 11 million square feet in Florida. The company is focused on the development, acquisition and operation of industrial properties in major Sunbelt markets, with an emphasis in Florida, Texas, Arizona, California and North Carolina.
In the first quarter of this year, EastGroup began construction of West Road 5, a 58,000-square-foot, multi-tenant business distribution building in Houston. This is the last building in the company’s West Road Business Park; the other four buildings are currently 100% occupied.
Also in the first quarter, the company started construction of Broadmoor 2 in Atlanta. The multi-tenant business distribution building will contain 111,000 square feet and is located adjacent to the company’s 100% leased Broadmoor 1 property, which was acquired by EastGroup in 2017.
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