by Doug Roberts, partner with Panattoni Development
Panattoni Development Company has become a familiar name in the Nevada development industry. Known for their large industrial projects, Panattoni continually shows their confidence in our burgeoning economy. In the Fall of 2018, the company announced the largest tenant in a speculative space in state history, located at the first phase of North Valleys Commerce Center (NVCC) . Panattoni is making history again, this time with the second phase of NVCC.
Panattoni recently announced that they have broken ground for an expansion of NVCC, located at 9585 N. Virginia St., Reno, NV 89506. The project, called North Valleys Commerce Center II (NVCC II), is the largest square footage of speculative industrial space to be constructed at one time in Nevada’s history.
“The timeline of construction for NVCC II is part of what makes the project so significant. Because of the strength of the industrial sector, we will not phase the project and all buildings will be delivered simultaneously,” said Doug Roberts, partner with Panattoni Development.
NVCC II will include five buildings ranging from 140,000 to 405,000 square feet, and will combine to total 1.4 million square feet. The buildings will feature a 36’ clear height, 60 trailer parking spots, ESFR fire suppression systems, LED lighting, ample power, standard column spacing, divisibility to four tenants, quick access to US 395 via the Stead Boulevard and Lemmon Drive on and off ramps, and plenty of freeway visibility.
North Valleys Commerce Center II is being developed by Panattoni Development. Odyssey Engineering is the civil engineer, Tectonics is the architect on the project, and the general contractor is Alston Construction.
The 1.4 million square feet project will be constructed over 18-22 months, an extraordinary feat for a project of this size. The construction schedule is designed to capitalize on the low vacancy rate in Class A industrial space seen throughout the region. Panattoni ultimately made the decision to move forward with the expeditious schedule to ensure that they have enough product coming online to meet the needs of the market. This approach differs from the usual model. Traditionally, the company has enacted leasing benchmarks, waiting to begin construction on a new building until certain leasing threshold is met.
The expedited schedule involves a lot of planning in order to stay efficient and within the timeline. Securing the proper manpower and materials is essential to keep the project on its rigorous schedule. The team is working closely with various subcontractors and city officials to ensure both the labor and permitting continues without hindrance.
The first phase of NVCC, four buildings totaling 2.28 million square feet, was quickly leased, giving Panattoni security in the market and the confidence to deliver phase two simultaneously. Expected delivery of the first building, totaling 405,213 square feet, is Q1 2020. Panattoni feels very confident that this landmark project will serve its intended purpose and will be leased in a similar manner to the first phase.