As industrial vacancy rates plummet to 3.2% and below in Jacksonville, the city issued a permit Feb. 6 for Pattillo Industrial Real Estate to build the almost 298,000-square-foot speculative distribution center, called Building 3, at 5800 Imeson Road in West Jacksonville at a cost of $10.5 million.
The city issued a permit Oct. 18 for Pattillo to build the foundation at almost $4.5 million.
The $15 million project is Pattillo’s second speculative distribution center at the site. Vice President Peter Anderson said he expects completion in August.
Anderson said no tenant has been signed. A Pattillo brochure shows it can be leased to a single tenant or to multiple tenants starting at 85,000 square feet.
Counting the site-clearing permit at a job cost of almost $3 million, the total reaches $18 million.
Jacksonville-based Dana B. Kenyon Co. is the contractor.
Building 1 is the BMW regional parts distribution center at 5560 Imeson Road.
Anderson said Building 2, at 6040 Imeson Road, should be ready for tenant build-out at the end of February.
Dana B. Kenyon Co. built the almost 173,000-square-foot Imeson Building 2 at a cost of $17 million, which includes site clearing and the foundation cost.
Anderson said the building is designed for multiple tenants. He said there is a signed lease for 126,000 square feet.
A Pattillo brochure shows it is divisible for tenants of at least 40,000 square feet.
The two speculative warehouses at the site at northwest Imeson and Pritchard roads total more than 470,000 square feet of space.
The property is part of Westside Industrial Park, which Pattillo affiliate Stone Mountain Industrial Park developed. Atlanta-based Stone Mountain is a member of the land ownership LLC.
Distribution space is in demand by shippers, retailers, manufacturers and e-commerce fulfillment centers.
In the fourth quarter of 2022, industrial vacancy rates in Jacksonville ranged from a tight 2.1% to 3.2%.
The largest area industrial markets are West and North Jacksonville.