The Atlanta-based developer of speculative industrial-warehouse properties received permission last week to relocate Northwest Second Street and all adjoining utilities at the Sunrise development site in a move to create a more contiguous development pattern.
"We've applied for building permits, and we're anticipating the buildings will be ready for occupancy in January next year," Larry Dinner, an IDI vice president of leasing, tells GlobeSt.com.
The Marina West development is a slight departure in South Florida for the Atlanta development group. It is by far the company's smallest development in the region, all of which are located in Broward County.
For example, Miramar Business Center on Miramar Parkway near Florida's Turnpike contains 60 acres; Pompano Business Center on Copans Road near Interstate 95 in Pompano Beach contains 118 acres; and Weston Business Center on West Corporate Lakes Boulevard has 67 acres.
"We looked at Marina West as an infill site," Dinner says. "The exciting thing about this project is it has great exposure to Interstate 595."
IDI paid about $5.85 million, or roughly $5.97 per sf, for the Marina West site, according to Broward County property records. That compares with the estimated $12 million, or $4.59 per sf, the company paid for the Weston Business Center site in 1998.
When fully leased, the Marina West project could bring the company around $2.44 million a year in annual rental revenue on estimated asking rents of $6.26 per sf, triple net, according to the most recent submarket survey published by Cushman & Wakefield of Florida Inc. Through the second quarter ended June 30, the southwest Broward submarket contained an inventory of 10.95 million sf of industrial property with a vacancy rate of about 13.2%.
There is little doubt in Dinner's opinion that the Marina West project will lease up quickly. IDI is handling all leasing arrangements. "We have already talked to several prospective tenants," says Dinner, though he declined to offer any details. "We've had a lot of interest."
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