Leading Western and Central U.S. industrial real estate investor, developer and asset manager, CapRock Partners, today announced its acquisition of 85 acres of unimproved land in North Las Vegas for the future development of CapRock Highlander Logistics Center, a new Class A, LEED-certified logistics complex comprised of two freestanding warehouse buildings totaling approximately 1.48 million square feet.
CapRock entitled the site during a prolonged escrow and then acquired the property off-market from a private seller. Terms of the deal are not disclosed. Construction is scheduled to begin in 2024 with completion anticipated in 2025.
“Demand for big box industrial space in North Las Vegas remains strong and this Apex property is one of the best-located remaining undeveloped sites in the submarket that can accommodate a building over one million square feet,” said Taylor Arnett, first vice president, acquisitions at CapRock Partners. “CapRock brings significant experience building institutional investment-level industrial warehouse assets in North Las Vegas to this new development. Following several successful completions and dispositions in Las Vegas in 2023, our team is excited to continue its momentum by bringing a future-forward logistics complex to the growing Apex industrial submarket.”
CapRock is one of the most active developers of state-of-the-art industrial property in Las Vegas. The firm has completed eleven buildings totaling approximately 2.6 million square feet of distribution and logistics space since 2021 in Las Vegas alone. In 2023, the firm will be under construction or have recently delivered more than 7 million square feet of Class A industrial space in key markets throughout the Western and Central U.S.
“CapRock is well-capitalized and positioned for continued growth. We closed this transaction on an all-cash basis, a unique capability in today’s challenging economic environment where many developers are grappling with a lack of equity and debt financing,” added Arnett. “CapRock is moving forward with speculative development plans for CapRock Highlander Logistics Center, and we will also accommodate a built-to-suit for a strong credit tenant.”
The 85-acre CapRock Highlander Logistics Center site is located within North Las Vegas’ Apex submarket, west of Interstate 15 with direct access via the Las Vegas Blvd. N. (Highway 91) on/offramp. The site is west of the Las Vegas Blvd. and Nadine Petersen Boulevard intersection. It is approximately 25 miles to downtown Las Vegas and approximately 30 miles to Harry Reid International Airport.
At completion, CapRock Highlander Logistics Center will offer a modern design, institutional-level construction, and a site configuration suitable for distribution and logistics-related uses. The buildings will feature 40-foot clear heights, excess land for an outsized number of trailer and parking stalls, drive around capability, and private concrete yards and truck courts.
Projected plans for the larger building consist of approximately 1,018,800 square feet and include 164 dock-high doors, four ground-level doors and speculative office space. The smaller building will consist of approximately 460,800 square feet and include 82 dock-high doors, four ground-level doors and speculative office space.
“CapRock Partners continues to focus on expanding its portfolio across key logistics markets, leveraging its deep industry knowledge, and forging strong relationships with tenants and investors,” added Patrick Daniels, co-founder and chief executive officer at CapRock Partners. "We are dedicated to our strategy of acquiring and developing best-in-class properties that generate strong returns for our investors and contribute to the economic development of the communities in which we operate."
The Las Vegas industrial real estate market is experiencing sustained rental rate increases and low vacancies. As of Q2 2023, the overall vacancy rate for industrial property in Las Vegas was 2.5%, according to Cushman & Wakefield, while the North Las Vegas submarket vacancy rate was 1.9%. The Apex industrial submarket continues to gain momentum, supported by the increasing number of significant corporate users who are committing to space in the area. Corporate neighbors in the North Las Vegas submarket include high-quality corporations such as Croc’s, Kroeger, Air Liquide, Ball Corp, Amazon, Fed Ex, Fanatics, DHL, UPS, Penske, Lowes, Sephora, Packaging Corporation of America, and Moen.
CapRock was represented by Cushman & Wakefield’s Las Vegas industrial team, Donna Alderson, Greg Tassi, and Nick Abraham, in the transaction. Will Strong and Kirk Kuller of Cushman & Wakefield’s National Industrial Advisory Group – Mountain West represented CapRock in the asset’s equity financing.
ABOUT CAPROCK PARTNERS
Founded in 2009 in Newport Beach, Calif., CapRock Partners is a privately owned investor and developer of industrial real estate in the Western and Central United States. With approximately $2.9 billion of assets under management or advisement as of June 30, 2023, the company specializes in acquiring middle-market value-add industrial assets, developing large-scale institutional-quality Class A industrial warehouse facilities in key locations, and providing third-party asset management services for institutional investors. The firm is actively acquiring land for development and middle market value-add assets across the Western and Central U.S. Since inception, its total investment and development pipeline exceeds 30 million square feet of industrial real estate. For more information, visit www.caprock-partners.com. Follow the company on Facebook, LinkedIn, Twitter and Instagram.
