The lease is both an expansion and relocation for Ashley Furniture, according to Walker Barnett, a senior vice president with Colliers International's local office. He and Gary Mabray handle the marketing of Airtex Industrial Center, while Justin Bennett represented Panattoni in all lease negotiations. Jeff Venghaus and Ryan Fuselier of Jones Lang LaSalle represented Ashley Furniture.
Barnett tells GlobeSt. that Ashley Furniture will relocate from the Sugar Land area and combine warehouse and distribution for their southeast Texas stores into the new facility. The company will also have a retail clearance center in the building's frontage along Airtex.
Panattoni kicked off development of the 60-acre Airtex Industrial Center with the construction of a 486,720-square-foot, Class A industrial facility that was completed in fall 2009. With the Ashley Furniture lease, the building is 88% occupied. Other tenants include: Velocity Acquisition I and Ozburn Hessey Logistics.
The distribution center offers abundant parking for employees, retail customers, and delivery vehicles, as well as 190-foot deep truck courts to accommodate on-site trailer parking without impacting the operational efficiency of the warehouse dock doors. The quoted lease rate is $4.79 per square foot, triple net.
"Ashley Furniture felt that it could most effectively distribute to its southeast Texas stores from this location," Barnett says. "This building offers Ashley Furniture better logistical efficiency and easy access to I-45 northbound and southbound. And, it is the biggest warehouse space in the most central location that would actually accommodate a 300,000+ square foot user."
Along with Ashley Furniture, Sysco, Walgreens, Cardinal Health and Vistar have selected distribution centers in this area. All of them distribute to retail locations around the greater Houston area from their northern location.
Colliers represents future phases of Airtex Industrial Center, which includes an additional 31 acres available for build-to-suit opportunities or land sales. Barnett tells GlobeSt. that Sacramento, Calif.-based Panattoni is reviewing design plans for Phase II of the project.
"We are considering smaller rear-load high finish flex buildings along the Airtex frontage that would range from 25,000 to 50,000 square feet and that could accommodate tenants from 5,000 square feet and up," Barnett says. "We are also reviewing an additional cross-dock building that would range from 240,000 to 300,000 square feet with plenty of room for trailer storage and flexibility for tenants who require outside storage."
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