Thank you for sharing!

Your article was successfully shared with the contacts you provided.

LAS VEGAS-Amazon.com has tied up 286,000 sf a ProLogis warehouse here for its southwestern US distribution center. The Seattle-based online retailer has inked a five-year lease for half of the total and holds an option to expand into the rest of the space, according to Colliers International, which represented the landlord in the transaction.

The average lease rate on the deal is approximately $0.50 per sf per month (NNN), local industry sources tell GlobeSt.com. If Amazon takes down the full 286,000 sf, the value of the lease would be approximately $8.6 million.

The building, 3817-3837 Bay Lake Trail, is located within Las Vegas Corporate Center in North Las Vegas. Amazon hopes to have the distribution center up and running in October, in time for the holiday shopping season. The lease is Amazon’s first in Southern Nevada. It has operated a 786,000-sf facility near Reno since 1999.

Colliers’ brokers Daniel Doherty, Patti Dillon, and Suzette LaGrange represented Denver-based ProLogis in the transaction. If Amazon exercises its option to double its leasehold the building the 1.4 million-sf park will be full, with no new construction on the table. “Everyone is on the fence, waiting to see how the next six months plays out,” he says.

The 229,000-sf in the building not tied up by Amazon was leased in the first quarter by Monster Cable Products Inc. for its national distribution center. The value of the 64-month lease is reportedly $6.4million.

ProLogis dramatically increased its ownership in the Las Vegas market and Nevada in general last year when in partnership with Lehman Bros. it acquired a 24.7-million-sf portfolio from Dermody Properties and CalSTRS for $1.8 billion. With more than 60% of the portfolio in Nevada, the deal instantly gave ProLogis a leading position in the state.

The deal included 12 million sf in the Reno area and four million sf in the Vegas area, including one million sf within Las Vegas Corporate Center, taking its ownership there to 2.5 million sf in 12 buildings. ProLogis says its only availability at Las Vegas Corporate Center is the remainder of the 500,000-sf building in which Monster Cable will be located.

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
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


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 © 2020 ALM Media Properties, LLC. All Rights Reserved.