Leading industrial real estate firm carries robust activity and momentum into 2022 with significant Las Vegas sale transaction and approximately 10 million square feet of new development under construction
LAS VEGAS and NEWPORT BEACH, Calif. â€“ February 1, 2022 â€“ CapRock Partners, a leading industrial investor, developer and asset manager in the Western U.S. and Texas, today announced the disposition of CapRock Interchange Industrial Center, a 684,000-square-foot Class A industrial complex in North Las Vegas the firm developed in 2020 and 2021. CapRock Interchange Industrial Center is CapRockâ€™s first development outside of California and the sale comes as the firm strategically expands and invests in key logistics markets throughout the Western U.S. and Texas. Leading into 2022, CapRockâ€™s portfolio and proven track record includes nearly 30 million square feet of industrial real estate assets acquired, entitled, developed or under construction.
â€œCapRock Partners experienced another year of historic milestones and growth in 2021 and our team is proud to start the new year with the sale of CapRock Interchange Industrial Center, a centrally located best-in-class logistics development project in the Las Vegas market,â€ said Nicholas Ilagan, senior vice president of asset management at Caprock Partners. â€œThe North Las Vegas submarket continues to attract institutional investment as it emerges as an essential regional hub in the expanding U.S. supply chain. This sale is representative of CapRockâ€™s capabilities and leadership in industrial real estate and is a significant step in the firmâ€™s deliberate expansion into strong U.S. logistics markets with positive economic fundamentals.â€
Located within the North Las Vegas Speedway submarket, CapRock Interchange Industrial Center is positioned directly north of the I-15 and I-215 freeway interchange, offering significant freeway visibility and accessibility. The development includes two state-of-the-art industrial warehouses. Building 1 is approximately 174,000 square feet and features 32-foot clear height, 39 dock high doors, 2 grade-level doors and 105 parking spaces. Building 2 is a 510,000-square-foot cross-dock building that features 36-foot clear height, 89 dock-high doors, 4 grade-level doors, 115 trailer parking stalls and 249 parking spaces.
At the time of sale, CapRock Interchange Industrial Center was 100% leased to BarkBox, Boxabl and Evanesce Packaging Solutions. Newmark represented CapRock in the sale transaction, led by Andrew Briner and Brett Hardy. Rob Lujan, Xavier Wasiak and Jason Simon of JLL represented CapRock as the local market experts. Terms of the sale transaction are not disclosed.
Including CapRock Interchange Industrial Center, CapRock has acquired, developed or is under construction on approximately 3.0 million square feet in the Las Vegas area since 2017.
The assetâ€™s sale follows a stream of new transactions and achievements for CapRock in the second half of 2021. The activity includes the disposition of four industrial assets totaling nearly 1 million square feet and three new acquisitions for either value-add repositioning or ground-up development.
â€œ2021 was an outstanding year for CapRock Partners. We remain steadfast in our commitment to creating world-class logistics facilities and repositioning existing industrial properties to meet the demands of the nationâ€™s evolving supply chain through our entrepreneurial approach,â€ said Jon Pharris, co-founder and president of CapRock Partners. â€œWe are in the midst of a massive shift in how the world economy operates with the integration of ecommerce and highly-sophisticated technology in the industrial sector. With our expertise, geographic reach and relationships, CapRock is at the forefront of this changing landscape.â€
CapRockâ€™s H2 2021 acquisitions, totaling more than 1.6 million square feet, include:
- CapRock East 202 Logistics (Mesa, Ariz.): CapRock secured an approximately 100-acre site within Mesaâ€™s Southeast Valley submarket for the development of approximately 1.4 million square feet of industrial warehouse space across multiple buildings. The project is anticipated to break ground in Spring 2023 with completion planned for Summer 2024. Building features will include 32-foot to 40-foot clear heights, large truck courts, ample dock high and grade level loading, with a mix of cross-dock and rear load buildings.
- 6950 W. Buckeye (Phoenix): A new development that CapRock acquired as a forward sale upon building completion. The 117,520-square-foot Class A distribution or manufacturing facility property is located near the Full Diamond Interchange and features 32-foot clear height. CapRock successfully leased the property within a month of acquisition to a single tenant on a long-term lease.
- 8501 W. Van Buren (Tolleson, Ariz.): A forward sale that CapRock acquired as part of its value-add strategy. The 83,000-square-foot, Class A distribution facility features 30-foot clear height and is close to Downtown Phoenix, near the Full Diamond Interchange. CapRock successfully leased the asset within 60 days of acquisition to a single credit tenant on a long-term lease.
CapRockâ€™s H2 2021 dispositions, totaling nearly 1 million square feet, include:
- 1855 Dornoch Court (San Diego, Calif.): A 210,00-square-foot industrial warehouse complex in the Otay Mesa submarket that CapRock repositioned and leased to tenants Mendtronix, ACE and Rivulis. CapRock was represented by Cushman and Wakefield’s IAG West Capital Markets Team and Joe Anderson and Andy Irwin of JLL in the sale.
- Saddle Ranch Business Park (Norco, Calif.): A recently completed 422,000-square-foot, four-building, Class A industrial warehouse complex in the Inland Empire developed by CapRock and fully leased to Goli Nutrition. CapRock was represented by Darla Longo and Barbara Emmons of CBRE National Partners West along with Paul Earnhart, Jeff Ruscigno and Brian Pharris at Lee & Associates in the sale.
- CapRock Papago Distribution Center (Phoenix): A 226,000-square-foot industrial warehouse that CapRock acquired fully leased in 2019 before repositioning and securing new tenant OmniMax International. CapRock was represented by Cushman and Wakefield’s IAG West Capital Markets Team along with Marc Hertzberg, Riley Kenney and Pat Harlan of JLL in the sale.
- 2009-2011 Raymer Avenue (Fullerton, Calif.): A repositioned 124,000-square-foot single-tenant industrial warehouse in north Orange County newly leased to Brentwood Homes. CapRock was represented by Cushman and Wakefield’s IAG West Capital Markets Team and Rick Ellison of Cushman and Wakefield in the sale.
2021 also included the closing of CapRockâ€™s oversubscribed CapRock Logistics Venture I. The investment vehicle is near fully allocated and will fund CapRockâ€™s nearly $2 billion pipeline of Class A industrial real estate projects totaling approximately 12 million square feet throughout California and Arizona, many of which are currently under construction.
Looking ahead to 2022
CapRock Partners will be under construction on approximately 10 million square feet of industrial space in the next twelve months in key logistics markets in Southern and Central California, Las Vegas and Phoenix. Reference â€œAddendum Aâ€ for complete list of CapRockâ€™s active projects.
CapRock is actively pursuing new investment opportunities in Texas for ground-up development and value-add repositioning. The firm is looking to build a local team Dallas-Fort Worth Metroplex to execute on its development and investment strategies.
ABOUT CAPROCK PARTNERS
Founded in 2009, Newport Beach, Calif.-based CapRock Partners is one of the leading private industrial real estate investment and development firms in the Western U.S. The company specializes in acquiring value-add industrial assets, developing large-scale institutional-level Class A industrial warehouse facilities and providing third-party asset management services for institutional investors. The firm is actively acquiring land for development across the Western U.S. and Texas. Since its inception, CapRock has entitled, developed, or acquired nearly 30 million square feet of industrial real estate. Follow the company on Facebook, LinkedIn, Twitter and Instagram.