Expanding from 25,000 sf in Eastern-Western Corp.'s Whitaker Way Industrial Park, NIR Inc. has leased all of the 96,608-sf Building D at Southshore Corporate Park. The lease rate on the five-year deal is not being disclosed by those involved, but local industry experts tell GlobeSt.com the going rate for first generation shell space is in the mid $0.30s per sf per month, but that tenant improvements and some free rent are generally being thrown into deals.
Building D, located at 18712 NE Portal Way, was completed in 2002 and has never been occupied. The lease brings occupancy at Southshore to 100%, according to Grubb & Ellis' Tom Talbot, who with Steve Barragar handles leasing at Southshore on behalf of Catellus. Mike Woodley of Norris & Stevens represented NIR.
With all of its existing buildings leased up, Talbot tells GlobeSt.com that Catellus is now considering moving forward on a speculative basis with Building E, which is pad-ready for an 84,000-sf building. As well, Talbot says Catellus is also considering starting site work for another building of up to 200,000 sf.
"Catellus is aware of the abundance of product in the market, but if it makes sense to do either of those things, the company could piggyback on the Staples project to save some money," says Talbot, referring to a 20-acre, 200,000-sf build-to-suit agreement with the office supplies retailer that was inked in January.
The Staples deal leaves about 45 acres of 230 acres still to be developed at Southshore--25 acres in Gresham and 20 acres in Portland. The available acreage could hold as much as 700,000 sf, which would bring the development to right around 2 million sf.
Already up and running at Southshore are: Bridgestone/Firestone (295,000 sf), Alexander's Moving & Storage (110,000 sf), EJ Bartells (110,000 sf), Synetics Solutions (155,000 sf), Spicers Paper (90,000 sf), Harry's Fresh Foods (80,000 sf), Frito Lay (80,000 sf), Innovion (45,000 sf), Danner Shoe (55,000 sf), Kinco International (58,500 sf), and Fujicolor Film (27,500 sf).
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