Five industrial buildings are rising in a southwest Charlotte business park as the warehouse vacancy rate continues to decline – a sign of healthy demand for industrial space.
Trinity Capital Advisors and PCCP are developing five single-unit buildings in Shopton Ridge Business Park at Sandy Porter and Shopton roads.
The buildings, totaling nearly 250,000 square feet, will be available for occupancy in late 2016 or early 2017, and will range from 33,000 to 69,300 square feet.
“The five size types can speak to all sorts of industrial products – both manufacturing and distribution,”said Terry Brennan, a partner at Trinity Partners, who is handling sales for the property.
InterCon Building Corp. is the general contractor and WGM Design designed the buildings.
Trinity Capital Advisors bought 25 acres and four buildings at the business park in 2013.
In 2015, the company sold the buildings to Florida-based Adler Kawa Real Estate Advisors for $33 million.
The new structures will bring the total number of buildings in the park to 13.
Brennan said the single-unit buildings are appealing to international groups looking for industrial property in Charlotte.
“They simply like being in their own building rather than their multi-unit building,” he said. “It’s a very fresh new feeling.”
Industrial warehouse vacancy rates in southwest Charlotte have declined below the city’s overall industrial warehouse vacancy rate.
Southwest Charlotte’s vacancy warehouse rate dropped to 6.7 percent in the first quarter of 2016 from 7.5 percent in 2015, according to the research firm Xceligent/KARNES.
Overall, Charlotte’s warehouse vacancy rate increased to 9.1 from 6.8 percent during the same period.
In 2010, just after the recession, the warehouse vacancy rate in Charlotte was 14.7 percent, compared with 13.8 percent in southwest Charlotte.
“Demand overall has continued to increase, but supply has continued to decrease,” Brennan said.