Trammell Crow, Clarion JV inks single-tenants deals for two Knox Logistics Center buildings totaling 1.1M SF.
A joint venture of Trammell Crow and Clarion announced this week that two warehouses encompassing 1.1M SF under construction in the JV’s sprawling Knox Logistics Center have each been fully pre-leased to single tenants.
Apparel retailer Burlington Stores has signed a 410K SF lease to occupy all of Knox IV, while an identified logistics services provider has inked a deal to lease all of Knox III, a 693K SF facility. Colliers represented both tenants in the lease transactions, while Lee & Associates represented the joint venture.
There currently is 2.7M SF of Class A logistics space under construction at the 249-acre Knox Logistics Center in Perris, CA, a 4.7M SF industrial complex that has been under development for nearly a decade.
Two buildings, designated Knox I and II, were delivered in 2013 and 2018 at the site, which is located on the I-215 South Corridor at an intersection with the Cajalco Expressway across from the March Reserve Airbase in Riverside County.
Knox IV, next door on Old Oleander on a 19.5-acre parcel, includes 3.9K SF of office space, 37-foot clear heights and 80 trailer parking stalls. The front-loading facility has 51 dock-high loading doors, two ground-level doors and a 185-foot truck court.
The Mead Valley region in Riverside County is becoming a leading logistics hub for the apparel industry. Earlier this month, USAA Real Estate and McDonald Property Group broke ground in Beaumont—about 30 miles northeast of Perris—on a 1.8M SF manufacturing and distribution facility for NY-based United Legwear & Apparel.
An estimated three-quarters of the record 39M SF of industrial space under construction in the Inland Empire—9.2M SF was added to the pipeline during Q2—already has been pre-leased, with pre-leased space the primary driver of next absorption in the second quarter as existing availabilities have been extremely limited.
The industrial warehouse sprawl in the two-county region that stretches from the LA city limits to the Arizona border is now exceeding an estimated 1B SF, with new logistics facilities pushing north and east and facing a growing backlash from several towns that are moving to enact moratoriums or bans on new warehouse construction.