(Read more on the industrial market.)

LAS VEGAS-With its existing portfolio here all but full,ProLogis of Denver is planning to break ground later this year on a788,000-sf distribution center. The two-building complex will riseat the northeast corner of Cheyenne Avenue and Marion Drive, on a42-acre site that once held the Sunrise Pointe Mobile Home Park.ProLogis last month paid Icon Investment Group $17.8 million forthe property.

Todd Burnight, ProLogis' market officer for Las Vegas untilrecently, tells GlobeSt.com land acquisition and imminent expansionis a result of its existing 3 million-sf portfolio here having beenmore or less full for the better part of two years. "We haveenjoyed very high occupancies and quite positive rent growth," hesays. "We believe in this market."Icon Investment Group emptied outthe park and rezoned the property for industrial use prior toputting it on the market. While in escrow to acquire the property,ProLogis obtained site plan approval for its project, which isexpected to be shell complete by mid-2008. One building will be278,000 sf and the other will be 510,000 sf.