Industrial demand in the Inland Empire is leading to more development of large industrial buildings. Canadian developer Ivanhoé Cambridge has acquired two land parcels in Ontario, California, from CapRock Partners and plans to develop Colony Commerce Center Phases 1 and 2, comprising 11 class-A industrial buildings at a cost of $450 million, a source representing the buyer reports.
In a statement, the source reports that the project will contain nearly 3 million square feet of leasable space; offer a variety of building sizes including 600,000 square feet, 700,000 square feet, and 1 million square feet; and will be developed by CapRock on behalf of the owner. Including Colony Commerce Center Phases I and II, CapRock will be undertaking construction on more than 10 million square feet of logistics properties in the Western United States over the next 18 months. As SoCal Real Estate has reported, among these are Serrano Business Park in Jurupa Valley, California; Norco Business Park in Norco, California; and either build-to-suit space for industrial occupiers or a number of speculative industrial buildings on a 26-acre land site on Nancy Ridge Road in the Sorrento Mesa area of San Diego.
According to the source, Darla Longo, and Barbara Emmons Perrier of CBRE National Partners West helped facilitate the transaction.
“We strongly believe that Colony Commerce Center will allow us to capitalize on the growing demand for rental space by offering modern industrial facilities in one of the best US logistics markets” says Mario D. Morroni, EVP, industrial, North America, at Ivanhoé Cambridge, in the statement. He adds that his firm has invested more than $2.5 billion in North American industrial real estate in the past year and continues to seek opportunities in this market.