(Read more on the industrial market.)

PHOENIX-Marking its second land buy in six months, ProLogis doubles its land holdings to enlarge ProLogis Park Riverside to 155 acres with a 2.4-million-sf build-out in West Phoenix. The acquisition pushes ProLogis’ all-in development tag to $140 million.

ProLogis’ just-bought land is located at the southeast corner of West 55th Avenue and West Lower Buckeye Road from locally based Cowley Cos. Inc. Tyson Chave, ProLogis’ vice president and market officer in Phoenix, says the extra acreage provides flexibility for the developer to incorporate larger buildings into the park.

“We can be more creative on 155 acres versus 78 acres,” Chave says. He explains that it wasn’t ProLogis’ intent to buy a lot of land when it acquired the first parcel in June from Newport Group. “When we initially closed on the first parcel, the remainder was tied up in another contract,” he tells GlobeSt.com. When it fell out of escrow, Chave says ProLogis didn’t hesitate. “With that land being located immediately adjacent to our site, we thought we could create a larger master-planned environment,” he says.

Although the parcel is larger, the timeline hasn’t shifted at all. ProLogis still plans to begin construction early next year on the first phase: two spec distribution centers totaling 647,000 sf.

Chave says ProLogis Park Riverside mainly will be speculative development, with build-to-suits welcome too. Market demand set the pace for additional phases.

ProLogis still is working through the approval process for the plan, but Chave says there’s been a lot of active interest in the site. “We’ve been talking to a couple of different groups that are candidates for the project,” he continues. “But with the timing still being a handful of months away, nothing is ready to be announced.”

Don MacWilliam and Payson MacWilliam, senior vice presidents of Colliers International Inc.’s Phoenix office, represented ProLogis in the land transaction and will lease ProLogis Park Riverside. Gary Tenney, a Colliers’ senior vice president in Phoenix, represented Cowley.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt Net Lease Spring 2024Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.