STAG Industrial Picks Up Salt Lake City Asset
ViaWest Group has sold 5 South Commerce Center, a 172,847-square-foot Class A industrial property in Salt Lake City. STAG Industrial acquired the single-tenant facility. Cushman & Wakefield worked on behalf of the seller.
ViaWest Group purchased the development site in early 2022, marking its debut in the Salt Lake City industrial market. The property came online in late 2023 on an 11-acre site.
The company developed the property using an approximately $18 million construction loan originated by Western Alliance Bank, according to CommercialEdge. CHEP USA fully occupies the property, the same source shows.
READ ALSO: Industrial Demand Slips, But Avoids a Slump
Located at 3175 W. 500 S., the facility has access to interstates 215 and 80 and is less than 5 miles west of downtown Salt Lake City. Additionally, 5 South Commerce Center is close to Salt Lake City International Airport, which is currently undergoing a $4.1 billion renovation and expansion with completion scheduled for 2026.
The building includes 32-foot clear heights, ample column spacing, an ESFR sprinkler system, four grade level doors, 35 dock-high doors, a 2,500-square-foot office component, a nearly 1.8-acre site storage area and 146 vehicle parking spots.
Executive Vice Chairmen Will Strong, Rick Ellison and Jeff Chiate, together with Directors Michael Matchett and Aubrie Monahan, Senior Associate Molly Hunt and Associate Matthew Leupold with Cushman & Wakefield’s National Industrial Advisory Group worked on behalf of the seller. The company’s Senior Director Phillip Eilers and Director Jon Schreck assisted in providing leasing advisory during negotiations.
Deals volume expected to pick up
Salt Lake City’s industrial market saw a significant slowdown during the third quarter of 2024, according to a recent CBRE report. There were just under 1 million square feet leased, marking the lowest amount of leasing activity in a single quarter since the start of the year.
The industrial investment volume was modest, with only 357,864 square feet changing hands during that period, the same report shows. Even so, a boost in sales is expected following the two Federal Reserve interest rate cuts beginning with September.
The post STAG Industrial Picks Up Salt Lake City Asset appeared first on Commercial Property Executive.
