Miles River Partners was issued a permit Thursday to build its first Northwest Jacksonville project, which so far totals construction costs of at least $9.7 million.
The 297,000-square-foot speculative warehouse, Crossroads Distribution Center, is going up at 6590 Pritchard Road, off of Interstate 295.
Arco Design/Build Inc. is the contractor of the project at a job cost of $5.99 million.
The permit is for the building shell. Tenant build-out will be done separately, although no tenant was announced.
On Nov. 14, the city approved a permit for Arco Design/Build to clear and grade the 22-acre site and install utilities at a cost of $3.7 million.
Principal Michael Bradley said previously that total hard construction costs for the first phase are anticipated at $12 million.
He expects completion July 1.
The building is suitable for one to three tenants. Bradley said there was no tenant yet, “but lots of interest.”
“Industrial tenants tend to make decisions closer to building completion,” he said.
Plans show 22 bays, 65 dock doors, two drive-in doors and spaces for 199 cars and 62 trailers.
Miles River Partners, through Crossjax Distribution LLC, bought 100 acres in June and expects to develop up to three buildings totaling 550,000 square feet on the 40 acres of usable space.
Bradley said the Jacksonville market is strong, citing the activity in the market and low overall industrial vacancy rate.
“Jacksonville continues to be a vibrant industrial market with solid activity,” he said.
There aren’t many options for tenants seeking 100,000 to 300,000 square feet of space, he said.
Bradley expects to start construction on a second building, this one 150,000 square feet, in the fourth quarter.
At least a dozen distribution centers and warehouses are in construction or planned in the area, primarily in West, North and Northwest Jacksonville.
Among expected projects are two economic-development deals with the city.
City Council adopted a resolution Jan. 8 for Project Flamingo, an unidentified national distributor of private-label skin and hair care products that wants space for an e-commerce warehouse.
The bill summary said the project “proposes to lease 200,000 square feet of space to be newly constructed in Northwest Jacksonville.”
It would produce a capital investment of $37.5 million — $13.5 million for construction, $24 million for machinery, equipment, furniture and fixtures — and create 30 full-time jobs by year-end 2021 and staff up with 400 additional part-time seasonal jobs.
The council bill authorizes a Recapture Enhanced Value grant of up to $1.425 million, representing 50 percent of the net increase of county ad valorem taxes on the property over 10 years.
Bradley said Flamingo was not a prospect at Crossroads Distribution Center.
The unidentified Project Danville is in council review. Described only as an international distribution company, Danville proposes to invest $50 million and create 87 jobs by year-end 2022. No project site or size was included in the legislation.
Danville seeks a $261,000 Qualified Target Industry Tax Refund.