A dominant warehouse owner has purchased a Las Vegas industrial park for $100 million, adding to its already extensive real estate holdings in Southern Nevada.
Prologis acquired a 441,569-square-foot industrial complex called Safari Business Park, which consists of five buildings on Dean Martin Drive near the Interstate 15-Blue Diamond Road interchange, brokerage firm Cushman & Wakefield announced Thursday.
Cushman, which represented Prologis in the deal, said the business park was around 82 percent leased at the time of sale, by an entity named Black Bongo LP.
It did not announce the purchase price, but Clark County records indicate the industrial complex sold for $100 million.
By all accounts, Southern Nevada’s industrial sector has held up well since the coronavirus pandemic dealt a crushing blow to the economy last year, in no small part because of an accelerated shift to online shopping that has fueled demand for warehouse space.
Developers have pushed ahead with plans for big warehouse projects in the Las Vegas area amid the pandemic, and investors have been buying buildings.
Among the transactions, VanTrust Real Estate acquired about 350 acres in North Las Vegas in March with plans to build a 4.5 million-square-foot industrial park, and Ares Management Corp. purchased a roughly 730,000-square-foot industrial complex in North Las Vegas for $135 million in July.
San Francisco-based Prologis, led by Chairman and CEO Hamid Moghadam, boasts a portfolio of 995 million square feet in 19 countries.
It currently owns around 12 million square feet in the Las Vegas area, Mathias Hughes, vice president and investment officer at Prologis, said in a statement to the Review-Journal.
Hughes said Prologis owns 10 buildings near Safari Business Park, and its location offers “unparalleled access” to I-15 and the Strip.
According to Hughes, demand for industrial space in the region is “robust.” The market has accelerated amid the pandemic, largely because of changing consumer habits and the “drastic shift toward online shopping,” he said.