The Port of Portland Commission has approved a 14-acre, 50-year lease with Capstone Partners to develop Phase III of the PDX Logistics Center.
At more than one million square feet, the PDX Logistics Center will have a total of five state-of-the-art buildings, two of which are already fully leased to trade and logistics tenants.
A logistics park is a distribution center typically seen in a suburban area utilized by major organizations as a way to efficiently and effectively organize, manage, and ship goods.
The project, located within the Portland International Center (south of Northeast Airport Way), provides tenants with immediate access to I-205 and close proximity to airport freight and transportation services near Portland International Airport.
It is within walking distance to TriMet’s Airport Max light rail line and mixed-use Cascade Station.
“The combination of air and ground transportation services infrastructure and immediate access to I-205 make PDX Logistics Center ideally suited for a broad range of industrial tenants,” said Chris Nelson, a principal at Capstone Partners. “The ability of this region to have shovel-ready industrial land for companies that wish to expand or relocate to Portland is critical to the long-term economic health of our region.”
Phase III of the project will add two additional buildings, totaling approximately 250,000 square feet.
Phase III construction is set to begin this July, with completion by summer of 2017.
“This lease and development will create more local jobs and give traded-sector businesses room to expand or grow in our region,” said Keith Leavitt, Port’s chief commercial officer. “The property’s unique location next to the airport, freeways and other businesses offer users uncommon access.”
Businesses operating in the initial two-building phase of the project (Phase I) include Gateway Express, a Singapore-based e-commerce company; specialty packaging company Ernest Packaging; and KeHE Distributors, a natural and organic food distributor that recently picked up Portland-based New Seasons Market as a new customer.
A third building (Phase II), which will add 355,200 square feet, is currently under construction and will be completed this July.
Capstone Partners is a regional real estate development and investment company with offices in Portland and Seattle.
Capstone has completed more than $1 billion of industrial, office, mixed-use residential and retail projects in the last 10 years.