Spec Industrial Hits Full Occupancy Fast

FORT LAUDERDALE, FL—As demand for industrial real estate in South Florida picks up and new tenants look to enter the market, Berlin Packaging has secured spec space while it's available. The North American packaging supplier just inked a 40,000-square-foot lease at a new spec distribution building. Financial terms of the deal were not disclosed.

Jones Lang LaSalle managing director Steven Medwin, senior vice president Chris Watts and vice president Nick Wigoda, completed the lease transaction on behalf of the tenant. The lease marks a significant expansion for the Chicago-based company in the South Florida market.

Berlin Packaging chose to expand its South Florida presence to better service new and existing customers from its new home in Broward County. Larry Rydzewski, Berlin Packaging's COO, says the new industrial space will help the company service “even more customers with our inventory programs and our long track record of on-time delivery.”

The Berlin Packaging lease brings total occupancy at the 87,540-square-foot building to 100% just one month after Sunbeam Properties delivered the spec building to the market. The industrial building is located at 9682-9698 Premier Parkway, within the Miramar Park of Commerce. The remainder of the building is occupied by a new-to-market manufacturing company which recently leased nearly 48,000 square feet, a deal also completed by JLL brokers.

“The fact that two highly regarded national companies have absorbed the latest spec building to be constructed at Miramar Park of Commerce, just one month after the new building was delivered, is a testament to the desirability for new warehouses and the strength of the South Florida industrial market,” says Medwin. “Seeing national companies expanding here is a positive indicator for our regional economy, as their investments translate to additional jobs and increased business activity for our marketplace.”

With demand outpacing supply in South Florida's industrial market, the region continues to see new spec projects breaking ground within submarkets like Airport West, Medley and parts of Southwest Broward County, according to JLL's latest South Florida Industrial Highlights report. Currently, there are 10 speculative warehouses under construction in South Florida by institutional owners, such as Prologis, Industrial Income Trust, DCT Industrial Trust, and KTR Capital Partners.