LPKC-Exterior

St. Louis’ first 1 Million SF Spec Building Coming to Gateway TradePort

/
Facebooktwitterlinkedinmail

With demand for industrial warehouse space at an all-time high, commercial real estate firm JLL announced that Gateway TradePort in Pontoon Beach, Ill., will soon deliver its fourth and largest building, a 1 million square foot speculative warehouse. The building, which is expected to delivery by Q3 2022, is the first spec facility of its size to ever be built in the St. Louis market. NorthPoint Development has a total of 11 industrial buildings planned for its 600-acre, 7.8-million-square-foot development located at the intersection of I-270 and I-255 in Illinois.

David Branding, managing director for JLL’s industrial brokerage division, said, “The most significant challenge right now for tenants is finding large blocks of space available to lease. Nationwide, we’ve run out of product, particularly if you’re looking for 100,000 square feet or larger of Class A warehouse space. NorthPoint’s massive new building is in response to the demand we’re seeing in this market and across the country.”

According to JLL research, all the major industrial parks in St. Louis are currently at capacity. Industrial vacancy sits at 4.3 percent. As of June, more than 1.1 Million square feet has been absorbed in the St. Louis market, of which 703,000 square feet is in the Metro East submarket. Approximately 6 million square feet of industrial space is under construction or planned in the next year.

“Landlords and developers are making big bets to bring more supply to market. Next year will tell if those bets were large enough to meet demand.”

JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $16.6 billion in 2020, operations in over 80 countries and a global workforce of more than 91,000 as of March 31, 2021. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.

The 600-acre Gateway TradePort industrial park is ideally positioned, thanks to its proximity to major interstates. It is located at the intersection of I-270 and I-255, with fast access to Interstates 55, 64 and 70. The Metro East is also home to a high concentration of transportation and warehouse workers, and a lower average hourly starting wage than other industrial parks in the St. Louis area. An exclusive 23-year real-estate tax abatement period at Gateway TradePort provides added incentive for long-term tenancy.

Facebooktwitterlinkedinmail

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.