30 Mar 2021
Land sales for industrial projects
remain hot in the Valley.
A Utah-based developer has bought
10 acres of land in the Deer Valley
area of north Phoenix and plans to
build a speculative industrial
Wadsworth Development Group
bought the land, at 15th Avenue and
Pinnacle Peak Road, for $6.4 million.
The company plans to build a three building industrial park totaling
136,000 square feet, which is
expected to be complete in August.
Robert Lundstedt, Skip Corley and
Chase Heinemann of Daum Commercial will be the leasing brokers
for the development.
"As there continues to be an influx of tenants looking to expand or
relocate to the Phoenix area, which is located within a 17-hour drive
of anywhere in the Southwest, developers are hungry to bring
competitive industrial facilities to the market to capitalize on this
high demand,” Lundstedt said. "The Deer Valley submarket in
particular, which saw vacancy rates compress to under 5% in (the
fourth quarter), is well positioned for further growth.”
In central Phoenix, Phoenix-based ViaWest has acquired 10 acres in
the Sky Harbor Airport submarket, at 3232 S. 48th Street, and plans
to develop an industrial project, called Airport48 Industrial.
Isy Sonabend and Drew Eisen of NAI Horizon represented the seller,
4 P’s LLLP of Peoria, in the $4.57 million deal, which closed March
ViaWest plans to begin construction of the 146,500-square-foot
building in the third quarter of 2021 and complete construction in
the second quarter of 2022.
"There is very limited developable land left in this submarket, so we
are very excited to be building another greatly sought-after infill
industrial development with high visibility on (State Route) 143,”
Alex Boles, ViaWest Group’s director of investments and
development, said in a statement.
In Chandler, after selling the first phase of the Lotus Project
industrial development for $91 million, Conor Commercial Real
Estate and joint venture partner WHI Real Estate Partners have
broken ground on the second phase.
The second phase will add three new industrial buildings, totaling
300,000 square feet to the development, which is located near
Loop 202 and Kyrene Road.
According to CoStar data, 14.4 million square feet of industrial
space is under construction in the Phoenix metro, representing
3.8% of the market’s existing inventory. Of the space under
construction, 63% is available for lease.
The lion's share of the construction is in the West Valley, with 60%
of the space under construction in Glendale, Goodyear and
Phoenix Business Journal