Thursday, October 21, 2021
Oppidan, partner to break ground on first of nine industrial projects
Oppidan Investment Co. is slated to start work this week on a new industrial property in Chaska.
It’s the first building in its new, nine-property industrial pipeline being constructed in partnership with Dallas-based Rockpoint Group. In all, the project will cost $157.3 million and cover 1.55 million square feet on three sites in Minneapolis and North Carolina, according to a news release.
The first project, in Chaska, is located at 1200 Chaska Creek Way. Here, they’re constructing two Class A buildings that will make up the Chaska Creek Industrial Park, according to the release.
The office and warehouse development will total 301,000 square feet for a development cost of $37.5 million. It will be constructed in two phases, with the first phase complete in the second quarter of next year. This phase will have 168,000 square feet, and the second phase will have 133,000 square feet. The second phase will be done in the last quarter of next year, the release said.
“The Chaska area, and the Twin Cities in general, is in need of more warehouse space to meet growing business and consumer demands. The Chaska Creek Industrial Park is designed to be expandable for a variety of industrial operations so we can flex and fit the needs of the market as [they] change,” Jay Moore, Oppidan senior vice president of development, said in the release. “The addition of these Class A buildings will fill a void in the area, and we’re already pleased with the early interest from multiple tenants. Plus, this project will create immense opportunities for local jobs.”
Rockpoint is a real estate private equity firm with offices in Boston, San Francisco, Dallas and London. It’s the equity partner in the project, the release said.
JLL Capital Markets arranged the joint venture partnership, with CBRE acting as the broker.
Rockpoint and Oppidan will also be constructing other properties in Ramsey at the Bunker Lake Business Park. There they plan to build three Class A buildings, with work starting in the first quarter of next year, the release said.
An entity related to the Rockpoint paid $4 million for the Ramsey site last month. The 43-acre site doesn’t have an assigned address, but property records show that it’s just north of Bunker Lane Northwest and west of Armstrong Boulevard Northwest, Finance & Commerce reported.
They have additional plans to build four industrial properties in Apex, North Carolina’s Cash Corporate Park. Work will also start on this in the first quarter of next year.
Work will finish on the Ramsey and Apex projects in 2022-23, the release noted.
“We’ve taken our 30 years of experience in development and expanded quickly into the industrial industry, truly making our mark with this nine-property industrial pipeline,” Oppidan President Blake Hastings said in the release.
Oppidan is a development, construction, project management and asset management service. Its work focuses on retail, industrial, commercial, residential, senior housing, affordable and mixed-use markets. Since 1991, it’s developed 550 projects valued over $4 billion, which span 25.7 million square feet throughout 39 states and parts of Canada.