Leading investor and developer further defines burgeoning Southern Nevada submarket with historic state-of-the-art industrial real estate development
NEWPORT BEACH, Calif. and NORTH LAS VEGAS â€“Â May 2, 2022 â€“Â CapRock Partners, a fully integrated real estate private equity firm, announces the sale of CapRock Tropical Logistics Phase I, a recently completed core industrial logistics facility consisting of two Class A warehouse buildings totaling 1.1 million square feet on an 83-acre site in North Las Vegas. The two buildings, which were developed by Caprock, were 100% leased to three investment-grade credit tenants, including a Fortune 100 ecommerce company. CapRock Tropical Logistics is a two-phase development that, at full completion, will be comprised of five buildings totaling 1.5 million square feet of Class A industrial real estate and be one of the larger industrial developments in the history of the Las Vegas Valley.
CapRock is currently under construction on CapRock Tropical Logistics Phase II, a three-building industrial warehouse development totaling 443,000-square feet on a 20.7-acre site adjacent to Phase I. Phase II building pads are poured, and preparation is underway to erect the tilt-up concrete panels in May 2022. Project completion is anticipated in Q4 2022.
â€œCapRock Tropical Logistics is a well-designed, highly accessible and visible, state-of-the-art distribution and logistics facility that CapRock began developing in 2020 following an extensive land assemblage acquisition process involving 34 parcels and 24 sellers,â€ said Taylor Arnett, first vice president of acquisitions at CapRock Partners. â€œThe assemblage aggregated one of the largest and most sought-after industrial land sites remaining in the North Las Vegas submarket. The completion and successful disposition of CapRock Tropical Logisticsâ€™ first phase is a testament to CapRockâ€™s vision, perseverance, and commitment to delivering a best-in-class asset in an expanding Western U.S. industrial submarket.â€
CapRock Tropical Logistics Phase I is located at 5802 and 5902 East Tropical Parkway, strategically situated at the I-15/I-215 interchange, providing 2,200 linear feet of I-15 freeway frontage. The asset offers immediate freeway access via north and southbound on/off ramps at Tropical Parkway and Speedway Boulevard.
Phase Iâ€™s building 5802 is an 857,000-square-foot, single-tenant structure featuring 40-foot clear height, 171 dock-high doors, 8,000 amps of power, 300 trailer stalls, and 679 auto parking stalls. Building 5902 is a 271,000-square-foot, two-tenant structure featuring 32-foot clear height, 54 dock-high doors, 3,000 amps of power, 159 trailer stalls, and 162 auto parking stalls.
The sale of Phase I was facilitated by Cushman & Wakefieldâ€™s West Coast Industrial Capital Markets Team, which includes Jeff Chiate, Jeff Cole, Mike Adey, Ed Hernandez, and Brad Brandenburg, and JLLâ€™s Las Vegas Industrial Team, which includes Rob Lujan, Xavier Wasiak and Jason Simon. The high-profile offering garnered multiple bids from institutional investors resulting in record-breaking pricing. Purchase price and terms of the deal are not disclosed.
CapRock Tropical Logistics Phase II is positioned along the south side of the I-15 freeway, at 6185, 6215 and 6325 North Beesley Drive. All Phase II buildings will feature 32-foot clear height, large truck courts and ESFR sprinklers, and the property will have 362 auto parking stalls onsite.
- Building 1 will be approximately 249,000 square feet and include over 300 linear feet of I-15 freeway frontage, 28 dock-high loading doors, two drive-in doors, a 185-foot truck court and 57 trailer stalls.
- Building 2 will be approximately 102,000 square feet and include 14 dock-high doors, two drive-in doors and 202 feet of shared truck courts.
- Building 3 will be approximately 92,000 square feet and include 14 dock-high doors, two drive-in doors and 202 feet of shared truck courts.
â€œCapRock is one of the most active developers in North Las Vegas Speedway since 2018,â€ added Arnett. â€œRecognizing a gap in the supply of smaller-sized warehouses, we deliberately designed Phase II to offer a range of buildings to meet the needs of the increasing number of corporations requiring efficient industrial space in Las Vegas, which is one of the fastest-growing industrial markets in the nation.â€
The North Las Vegas industrial real estate submarket has evolved into a significant western logistics hub in recent years. According to Costar, the submarket includes a total of 44 million square feet of industrial logistics space, an increase of 56% since 2015, with positive net absorption every year since 2013.
â€œPhase II is attracting interest from top credit tenants requiring institutional-quality warehouse space with high visibility and logistics access to the Western U.S. population,â€ said Jon Pharris, co-founder and president of CapRock Partners. â€œSince 2019, CapRock has completed approximately 2.2 million square feet of best-in-class industrial warehouse space within a one-mile radius of CapRock Tropical Logistics. Â The area is now home to some of the largest names in logistics and has become a central node for major distribution, supported by its efficient access to regional transportation and strong employment base.â€
Rob Lujan, Jason Simon and Xavier Wasiak of Jones Lang LaSalle are actively leasing Phase II. Â The team represented CapRock in the Phase II land assemblage acquisition transactions.
CapRock Tropical Logistics development partners include HPA Architecture and Lee & Sakahara Architects, Inc., Layton Construction Company and Martin Harris Construction, and capital partner, Ares Management, LLC.
Since 2017, CapRock has purchased, developed or entitled approximately 3.0 million total square feet in the Las Vegas metropolitan statistical area (MSA). The firm recently announced the sale of CapRock Interchange Industrial Center, a 100% leased 684,000-square-foot Class A industrial complex developed by CapRock at the intersection of the I-15 and I-215 freeways.
CapRock is one of the most active investors and developers of industrial real estate in the Western U.S. The firm is pursuing value-add industrial real estate investment opportunities and land sites for large-scale logistics development in targeted locations throughout California, Arizona, Nevada, Utah and Texas. Since its founding, CapRock has acquired, entitled or developed nearly 30 million square feet of industrial warehouses. With a robust pipeline, CapRock will be under construction on approximately 10 million square feet in the next twelve months.
ABOUT CAPROCK PARTNERS
Founded in 2009, Newport Beach, Calif.-based CapRock Partners is a fully integrated real estate private equity firm focused on acquiring and developing logistics assets in the Western United States and Texas. The firm specializes in acquiring middle-market, value-add industrial assets and developing large-scale, institutional-quality, Class A industrial warehouse facilities in high-growth markets across California, Arizona, Nevada, Utah and Texas. Since inception, CapRock has acquired, developed, or entitled more than 30 million square feet of logistics assets. CapRock manages a series of private real estate funds and has raised approximately $1.5 billion of equity commitments across multiple partnerships. CapRock Partners is registered with the U.S. Securities and Exchange Commission.