65-Acre LogistiCourt Project Takes Shape

(Read more on the industrial market.)

RENO, NV-The 65-acre site known as LogistiCourt at Silver Lake has begun taking shape. A development of local firm, Dermody Properties, the site will total 1.4 million sf at completion.

The project will total three buildings and is located roughly 14 miles north of the Reno/Tahoe International Airport. Construction is already under way on a 535,000-sf building, and is set for a fall 2008 completion date.

Dermody has tapped CBRE’s Reno office to handle leasing for the project. The two have partnered together before on Dermody developments in New Jersey, Georgia and Oregon, according to CBRE brokers connected to the project.

LogistiCourt is Dermody’s first local project since selling off its northern Nevada portfolio since the sale of its 10-million-sf portfolio to ProLogis earlier this year. Dermody had held the portfolio jointly with CalSTRS.

Since 1998, Dermody Properties has developed 2.6 million sf of space in 10 industrial properties in the local market. LogistiCourt is part of three million sf of development the firm has in the pipeline.

At LogistiCourt’s industrial corridor, area tenants include J.C. Penney, PetSmart, General Motors, Sherwin Williams, the Volvo Group of Mack Trucks and Michelin, among others.

Earlier this fall, Dermody acquired 50 acres at the Tahoe-Reno Industrial Center, with long-term plans on the site. At that time, company principal Michael Dermody told GlobeSt.com the purchase was a “long-term land acquisition” and that it was acquired at “favorable pricing” because the acquisition stems from a purchase option obtained when development of the center began eight years ago.

“We were one of the original developers of the park,” he says. “Our price was from the original pricing formula created when the park was started eight years ago, which will allow us to be very competitive on price.”

The area has been bustling with industrial activity. Also in the fall, a joint venture of McShane Corp. and MetLife acquired 56 acres and has already begun grading for a 1.2-million-sf cross-dock industrial center. The project will be called Eagle Valley Industrial Center and located near the USA Parkway interchange. Construction of the first 566,000-sf building is set for completion in June 2008. CB Richard Ellis has the leasing assignment on that project as well.