Expansion of the North Las Vegas industrial park underway

Developers of a sprawling industrial park north of Las Vegas have opened the final building after landing tenants for the first batch of space.

Trammell Crow Co. is performing site work on an approximately 652,000 square foot building in the Golden Triangle logistics center. The new facility, at the corner of Washburn and Pecos roads just south of Shadow Creek Golf Course, is expected to be completed in the first half of 2022, according to a press release.

This is the third of seven buildings planned for the 127-acre business park, said Tom Bak, senior general manager of the Trammell Crow office in Newport Beach, California.

The latest phase of construction also comes after an investment firm bought the first phase of Golden Triangle, which spans over 2 million square feet, for more than $ 335 million.

Heavily fueled by the boom in e-commerce, warehouse developers have embarked on a multi-year construction wave in southern Nevada, particularly in northern Las Vegas. Large chunks of land were made available there at relatively low prices, and the authorities expanded the city’s infrastructure, allowing more big-box facilities to emerge from the ground.

Among others, online retail giant Amazon, sportswear company Fanatics and baby products maker The Honest Co. have opened distribution centers in North Las Vegas in recent years.

The market is “on fire”

Overall, southern Nevada is experiencing record industrial development, and pre-leases have been “pretty high,” said John Stater, Las Vegas director of research for brokerage firm Colliers International.

About 7.8 million square feet of industrial space was under construction in the valley in the second quarter, he said.

“The market is on fire,” Stater said. “It’s incredible.”

According to him, the industrial sector is “the only positive point” of commercial real estate since the start of the pandemic.

People were already buying more online before the public health crisis disrupted daily life last year. But after the virus outbreak left masses of people working from home or rarely venturing out for fear of infection, and stores temporarily closed, internet shopping only intensified.

Trammell Crow, who was hired to develop Golden Triangle, announced plans for the 2.7 million square foot industrial park in fall 2019.

Bak recently said the first building was leased to Whitebox, an e-commerce services company, and part of the second building was leased to Brothers Trading Co., a grocery distributor.

He said rental negotiations are also underway for the third building.

The best in “virtually all markets”

Real estate investment firm Clarion Partners bought the first phase of the Golden Triangle in April for $ 335.6 million, according to real estate records.

Washington Capital Management President and CEO Cory Carlson, whose investment advisory firm sold properties on behalf of the previous owner, Operating Engineers Local 12 pension fund, confirmed the transaction.

A representative from Clarion was not available for comment this week.

Colliers announced Thursday that it has been hired as the listing broker for the recently purchased portfolio, saying the complex, Golden Triangle Industrial Park, spans over 2.4 million square feet and is 95 percent leased with 24 tenants.

Carlson, who said the pension fund also owns the 127-acre Golden Triangle expansion, said the industrial sector was doing “very well” in Las Vegas.

According to Carlson, this is the best type of commercial real estate “in virtually any market,” primarily because of e-commerce.

Contact Eli Segall at [email protected] or 702-383-0342. To pursue @eli_segall on Twitter.

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