A 192-acre site in Mesa, Ariz., will be divided into industrial-use subsites to be served by Union Pacific (UP), according to global real estate developer Trammell Crow Company (TCC), which recently acquired the property with a client of CBRE Investment Management.
TCC reported on April 12 that subsites ranging from 12 acres up to the full 192 acres are available for sale or for build-to-suit development.
Located in Maricopa County within an Opportunity Zone, the master site is one of the largest that can accommodate UP rail users, according to TCC, which said it will perform horizontal improvements on each subsite, including the extension of utilities and roadway build-out, beginning this summer.
TCC reported that the UP Pecos Industrial Rail Access and Train Extension line—planned for completion this year—will run directly through the master site, allowing for rail-accessible subsites. In addition to rail service, the master site is a quarter-mile from a full-diamond intersection along the recently completed SR-24 Freeway Extension.
“Despite the uncertainty about the overall economy and the industrial sector in the U.S., the market fundamentals for the Phoenix industrial sector remain strong, with historically low vacancy rates and continued demand for new space carrying through the end of fourth-quarter 2022,” TCC Principal Ryan Norris said. “The Southeast Valley was one of the most active submarkets at the tail end of last year, due in part to the area’s abundant labor pool, and we are still seeing strong activity as we enter the second quarter of 2023.
“In order to balance the various economic implications—meaning the national economic uncertainty and the continued local demand for industrial space—we wanted to create a flexible development site that allows us to offer sub-divided, shovel-ready sites for purchase, as well as sites where we can implement our build-to-suit expertise for industrial users looking to enter or expand their footprint in the market.”
UP on April 19 told Railway Age that it is “excited for the future growth prospects this new development site will mean for the Southeast Valley and the entire region’s economy. We are looking forward to helping move this project forward.”