PHOENIX-A joint venture has broken ground on what is being touted as the largest industrial spec project in the state. The 1.2-million-sf footprint is the second building to rise in the $100-million Riverside Industrial Center, coming out as the first space nears completion.
Developer KT Riverside launched the 100-acre park at 51st Avenue and Buckeye Road with a 377,000-sf building, which will be completed in the second quarter. A national retailer, whose identity is being kept under wraps, has signed a 10-year lease for the building.
Jonathan Tratt, principal with development partner Tratt Properties LLC in Phoenix says he wasn't too surprised at the speed in which the space was taken down. "You never want to be overly optimistic in these situations, but we believed we had an advantage in the market due to the pent-up demand for industrial product," he tells GlobeSt.com. "Fortunately, it panned out as we hoped it would." Tratt is co-developing the park with New York City-based KTR Capital Partners.
It was previously reported that Riverside Industrial Center would start with a 980,000-sf building, but Tratt says the project configurations were changed in the past several months. He says the second building could be multi-tenant, but the hope is it will end up with one user, or possibly two. The Grubb & Ellis/BRE Commercial LLC team of Anthony J. Lydon, Marc Hertzberg and Jaime Northam are leasing the development.
The 1.2-million-sf building also could be expanded, if necessary. Tratt says there are an abutting 15 acres that's been mapped out for a 250,000-sf structure. "Depending on the utilization of a prospective user, the land is contiguous and we could easily add it on in what would be an ell configuration," he explains. "The building could grow under roof to 1.6 million sf if driven by a user's need."
The spec building, set to deliver in the fourth quarter, will have seven-inch concrete floors, 36-foot clear heights, 255 dock doors and 292 trailer parking spots. In keeping with industry demands, it will have full-building circulation for rigs and a private truck staging lane as well as on-site trailer storage.
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