Ridgeline Unveils Massive Spec Warehouse
Ridgeline Property Group's 1M SF spec distribution center in the northern 'burbs is a huge vote of confidence that tenant demand will only get better in Atlanta. And they're not alone; other big names are planning spec projects, too.
Ridgeline's Mike Gray (far right with Greg Thurman and Rose Leypoldt) tells us on Nov. 1, the group—in a JV with Hillwood Investment Properties—will begin spec construction on a more than 1M SF distribution facility in Braselton. Specifically, a site off State Route 124 in Jackson County. And for Mike, the reasoning is sound: There's no quality Class-A space above 500k SF. Colliers International has been tapped to lease the project.
It's a big bet that Atlanta industrial has heated up enough to warrant delivering empty space, especially for a company that'll have 4M SF under construction across the nation by January, according to Ridgeline. There have certainly been some big deals in the market lately—capped by Walmart's planned 1M SF e-commerce center at Majestic Airport Center IV (see our scoop here). And there's plenty of other potential big-box tenants knocking on doors as well.
Ridgeline also isn't the only developer moving forward on spec. Numerous sources say developers like Panattoni, Majestic, and First Industrial are all planning spec projects. One of those is Red Rock and Burke Holdings long-planned development of Shugart Farms in Fairburn. According to sources, the developers are moving forward on a 1.15M SF spec facility (expandable by another 600k SF) that will also involve 1,100 trailer parking spaces and a 1,000-car parking lot—clearly designed with the e-commerce tenant in mind.