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Speculative Warehouse Planned Near Amazon In North Jacksonville

Via Jacksonville Daily Record

A Missouri-based company wants to develop an almost 553,000-square-foot warehouse in North Jacksonville.

NorthPoint Development, based in Kansas City, proposes to build the center at the Park 295 industrial park, according to our Jacksonville Daily Record news partner.  No tenant is identified, indicating it is a speculative building.

“It is NorthPoint’s plan to deliver a 553,000-square-foot speculative building in the first quarter of 2019,” said Ladson Montgomery, senior vice president and principal of Newmark Grubb Phoenix Realty Group.

Newmark Grubb Phoenix Realty Group represents the current ownership and is working on the deal with NorthPoint. Montgomery deferred further comment until the property is purchased.

The 167-acre business park is south along Interstate 295 at southwest Duval and Armsdale roads, across the interstate from the fulfillment center that handles small consumer items.

The site is about 2.5 miles south of Jacksonville International Airport. It is west along I-295 from the Dames Point and Blount Island marine terminals.

A city Concurrency Reservation Certificate signed Tuesday describes the NorthPoint project as a high cube warehouse, which is a distribution center primarily used for the storage or consolidation of goods before distribution to retailers or other warehouses.

The developer is shown as NorthPoint Development LLC. Prosser Inc. is the agent.

No cost is listed. Industry estimates of $40 to $50 per square foot for similar projects indicate a $21 million to $26 million cost.

NorthPoint is a privately held firm that focuses on Class A development in the industrial, senior housing and self-storage markets. It is active in 16 states.

It says on its website that it developed more than 49 million square feet of industrial space since it began in 2012.

It says that last year, it leased more than 13.2 million square feet of warehouse space. Its largest customer is General Motors, which it helped to develop supplier parks to support their manufacturing operations.

Other customers include Amazon, Walmart, Grainger and UPS.

The park is owned by HG Industrial Commons LLC and HG Industrial Partners LLC, both of Elgin, Illinois, near Chicago. They bought the property in 2008 and 2009 as the national recession stalled real estate development.

Newmark Grubb Phoenix Realty Group is the exclusive agent for the land, which is entitled to develop up to 2.1 million square feet of industrial development, according to a marketing brochure.

The property is described as about 175 acres, of which 139 acres is developable. The land has been for sale at $48,750 per developable acre.

The land use is governed by a Planned Unit Development.

A conceptual site plan with the marketing brochure shows four buildings of about 125,000 square feet to about 661,000 square feet.

However, the PUD verification plan filed with the concurrency application shows the proposed warehouse, called Building B, and three future buildings of different sizes.

The 552,634-square-foot initial warehouse comprises 50,000 square feet of office space and 502,634 square feet of industrial space.