PHOENIX—The Phoenix office of Jones Lang LaSalle has completed a 100-acre land sale that will bring a new Tractor Supply Company distribution center to the Central Arizona Commerce Park in Casa Grande.
Tractor Supply, the largest rural lifestyle retail store chain in the United States, will build an approximately 650,000-square-foot distribution center, with the potential to create more than 250 local jobs. The building will sit within the Central Arizona Commerce Park, a 416-acre rail-served industrial park near the confluence of I-8 and I-10, between Phoenix and Tucson, and with direct access to the state's main rail line.
JLL managing director Bill Honsaker tells GlobeSt.com, “This was a multi-regional search, targeting various submarkets and reaching as far as Buckeye.” But Central Arizona Commerce Park came out the clear winner. “The logistics were critical,” says Honsaker. “The cost for transportation to California is significantly lower due to the proximity to I-10 and I-8. And the I-8 access makes the route to San Diego much more streamlined; it proves very beneficial. If you also look at the cost and quality of labor compared to California, there is a significant difference. Tractor Supply spoke to other employers in the area and were reassured about the deep labor base. There are also trucks coming out of port full and it is much less expensive to transport goods west than east.“
Honsaker, along with JLL managing directors Anthony Lydon and Marc Hertzberg, are the exclusive brokers for Central Arizona Commerce Park. According to JLL, the multi-phase park is designed to accommodate both large and smaller users, supported by a strong local workforce and complimenting other nearby major corporate neighbors such as Frito Lay, Walmart and Abbott Labs.
“We also have to credit the opening arms of the city,” says Honsaker. “They came through with the infrastructure, the permitting process. It was a shovel-ready site and it reduced a lot of risk. This transaction also spurred a lot of upgrades to the site. It is now further ready and attractive for manufacturing with power and water. This is the premier park for heavy industrial. It is also an actively served rail use park.”
A lubricant manufacturer is slated to close on 4.5 acres in the park December 1.
Tractor Supply celebrated its project groundbreaking November 17 at the Casa Grande site. The facility is expected to begin operating in the fourth quarter of 2015.
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