Ivanhoé Cambridge and CapRock Partners have begun construction on Phase I of Colony Commerce Center, an industrial development in Ontario, California, comprising 1.3 million square feet of space, according to a release from a representative of the developers. The project will contain two modern class-A buildings of 589,000 and 700,000 square feet, respectively, the release says.
As SoCal Real Estate reported in August, Canadian developer Ivanhoé Cambridge acquired the two land parcels on which Colony Commerce Center is being built from CapRock and plans to develop with CapRock Phases I and II of the project, which will ultimately include 11 class-A industrial buildings at a cost of $450 million, a source representing the buyer reported.
Located at the northeast corner of Carpenter and Remington avenues in the Inland Empire, Colony Commerce Center Phase I will feature 36-foot clear heights, according to the release. It will also have 185-foot-wide truck courts, cross-dock loading, 100 percent concrete drive areas, and excess trailer parking stalls. The logistics complex is in close proximity to corporate neighbors such as Walmart, FedEx, and Amazon, and is a few miles away from major retail amenities.
The statement also says Colony Commerce Center Phase II is directly adjacent to Phase I on the southwest corner of Archibald and Merrill avenues and will include a 1 million-square-foot single LEED-certified building with a 40-foot clear height that anchors eight additional small-box buildings ranging from 35,000 square feet to 140,000 square feet, for a total of approximately 1.7 million square feet. Construction is on track to begin on the second phase by year end, the source says.
Mario D. Morroni, EVP, Industrial, North America, at Ivanhoé Cambridge, is quoted in the release as saying, “We are bullish on the North American industrial market, and with low vacancy rates and strong rent growth in the Inland Empire, Colony Commerce Center is strongly positioned to meet tenant demand.” He adds that the project “enables us to establish a strong foothold in the Southern California industrial market by delivering state-of-the-art industrial facilities in a fast-growing region during a critical time of need for industrial space.”
Patrick Daniels, CEO of CapRock Partners, is quoted in the release as saying, “Colony Commerce Center represents one of the last infill industrial development sites in Inland Empire West.” He adds that this project is Ivanhoé Cambridge’s first logistics development in the U.S. and says Colony Commerce Center is “set to be the crown jewel of logistics business parks for this region.”
The statement says Ivanhoé Cambridge has invested more than $2.5 billion in the North American industrial real estate market this past year. Colony Commerce Center marks an inaugural project for Ivanhoé Cambridge and CapRock Partners, a firm that is building more than 4 million square feet of class-A industrial product in the Inland Empire in 2018, including, as we have reported, Norco Business Park in Norco, California; and Serrano Business Park in Jurupa Valley, California.