New Class A warehouse space opened in Colorado's I-76 corridor as Trammell Crow Company and Clarion Partners with CBRE as the leasing agent and general contractor Murray & Stafford deliver 104th Commerce Park.
With the permanent surge of eCommerce since the pandemic, warehouse and industrial space has been growing to match demand. Over 570,000 of square feet were completed in Phase One and will be 1.17 million square feet upon completion of Phase Two.
“Everyone in the world is buying more stuff online,” said Tyler Carner, executive vice president with CBRE. “And the need for delivery of product is driving the industrial boom kind of nationally and locally as well.”
The new warehouse complex has a competitive advantage, officials say, as it is just under 10 minutes from the "Denver corridor" on about 90 acres of land south of Henerdson. Highway access to Denver International Airport just to the east should also be a draw for tenants.
The old saying "location is everything" when it comes to real estate rings true as planners chose a "prime spot" for the new warehouse with I-76 visibility and plenty of “rooftops” (residents) in the neighboring area, according to Sara Johnston, senior corporate communications manager for CBRE.
Two of the five buildings are complete and ready for leasing, offering 272,672 square-foot and 298,313 square-foot cross-docks. Three more buildings are planned for phase two.
All buildings are either 32- or 36-foot clear height with ready-to-use office spaces, sustainable lighting and ventilation systems. The individual buildings can also be divided among renters to appeal to different size needs.
The large yard space the complex offers can accommodate designated trailer parking.
The area historically has not had many Class A speculative industrial developments, Johnston said. That's despite being in a developing area close to the core population which gives a bit of savings to potential tenants who are willing to look 10 minutes up the road.
“There’s definitely a lot of residential growth, retail growth, some industrial but its hard to find,” Brad Stevinson, vice president of the Trammell Crow Company, said.
Supply chain issues and the process of permits have led to phase one challenges, according to Taylor Nelson, senior development manager with the Trammell Crow Company. Skilled labor was difficult to find, Nelson said. Marine Stafford was the general contractor on this project and was able to use the company’s relationships within the community to ensure competition of the project, he added.
“We’re pretty confident because we’ve got partnerships with a whole lot of great people,” Nelson said.
These types of projects used to take 10-to-12 months, Carner said. But now the process from site identification to building completion takes two-to-three years. This leads to higher costs all around.
Carner expects the site will appeal to e-commerce and third-party logistics businesses, but could be used for many different purposes as it can be divided from 20,000 square feet to up to almost 300,000. CBRE has already seen interest from potential tenants and hopes to have the first lease signed by the end of the month.
