Staples Inks 200,000-SF Build-to-Suit Deal with Catellus

PORTLAND-Catellus Development Co. has inked a build-to-suit agreement with Staples Inc. for a 200,000-sf distribution building on 20 acres at Southshore Corporate Park, a 230-acre industrial development that sits on the Columbia River and straddles the Portland-Gresham border. The extra land allows for an eventual expansion to 455,000 sf.

San Francisco-based Catellus will act as developer. Portland-based Perlo McCormack Pacific will be the general contractor and Portland-based Group Mackenzie the architect. Under the agreement, Staples will acquire the land and the building when the project is complete this fall.

The initial 200,000-sf building has a total project cost of $15 million, which includes the cost of the land. Recent land sales at Southshore have been for between $4.50 and $5.50 per sf, which would put the cost of the land alone in the $4-million range. Catellus acquired the raw land for the corporate park in 1998 for $1.50 per sf.