Richmond, Va. – August 2, 2017 – CBRE|Richmond is pleased to announce Panattoni Development Company, Inc.’s acquisition of 62.25 acres along Commerce Rd, south of the Bells Rd/ I-95 interchange and across I-95 from Richmond Marine Terminal in the City of Richmond. Panattoni will call the project Virginia I-95 Distribution.
Panattoni plans to immediately begin construction and deliver nearly 1,000,000 square feet of speculative warehouses between two phases. Each state-of-the-art phase is planned for a 461,700 square foot cross-dock warehouse with a clear height of 36 feet, LED lighting, and multiple trailer drops. Phase I is in permitting and has an anticipated delivery date of late summer 2018.
Current market vacancies for Richmond’s Class A market are under 3 percent, a historic low. Given the growing scarcity of available regional distribution centers ranging from 200,000 to 1.5 million square feet, Panattoni intends to fill a gap in the Central Virginia industrial market for large state of the art warehouse users such as e-commerce groups, core industrial/distribution users, and third-party logistics providers.
“The Richmond industrial market has averaged about 2.2 million square feet of annual absorption for the last five years,” said Matt Anderson, senior vice president with CBRE|Richmond. “Given the lack of supply and the healthy demand, we are very excited and optimistic about this project.” Anderson will be handling the leasing on the project.
“We focused on this great infill site exclusively for our first Richmond spec investment project in many years,” said Whitfield Hamilton, partner at Panattoni. “Its central location along the I-95 corridor, access to the Port of Virginia, and access to labor were significant factors that played a role in our decision to invest in this Richmond property.”
“Panattoni is excited to be working closely with the City of Richmond and the Port of Virginia. We see great potential in the area between Richmond and Hampton Roads,” said Bill Hudgins, senior development manager at Panattoni.
About CBRE – Richmond
CBRE|Richmond is a CBRE, Inc. affiliate office serving the Central Virginia region. The firm assists real estate owners, investors and occupiers by offering strategic advice and execution for property leasing and sales; property, facilities and project management; corporate services; debt and equity financing; investment management; valuation and appraisal; research and investment strategy; and consulting. In 2016, CBRE|Richmond completed 448 lease transactions encompassing 3.9 million square feet and totaling $240 million in value. The Richmond office also completed 90 sales transactions in 2016 with a total value of $459 million. For more information about the Richmond office, visit our website, www.cbre.com/richmond.
About CBRE in the Mid-South Region
CBRE is the only global real estate services firm with offices in Norfolk, Newport News, Richmond, Charlottesville, and Fredericksburg, VA, and Raleigh and Greensboro, NC. These offices are collectively referred to as the Mid-South region. The CBRE Mid-South offices (excluding Northern Virginia and Charlotte, NC offices) completed $3.2 billion of sales and leasing transactions in 2016.
About Panattoni Development Company
Founded in 1986, Panattoni Development Company, Inc. is one of the largest privately held, full-service development companies in the world. Panattoni operates from 24 offices in the United States, Canada and Europe. Since inception, Panattoni has developed more than 266 million square feet of space including more than 88 million square feet of build-to-suit projects. Learn more at www.panattoni.com.
Media and Regional Contact:
Panattoni Development Company, Inc.
Allison Blakley Stoker
William A. Hudgins
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2016 revenue). The company has more than 75,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.