BentallGreenOak JV Plans 2.2 MSF Industrial Park

Gulf Landing Logistics Center. Image courtesy of courtesy of Butters Group

Butters Group and BentallGreenOak have formed a partnership for the development of Gulf Landing Logistics Center, a 2.2 million-square-foot business park in Fort Myers, Fla. The initial phase of the project will yield approximately 740,000 square feet at a cost of more than $130 million.

Gulf Landing will take shape on a prime site spanning 284 acres, with nearly a mile of frontage along Interstate 75, located near Southwest Florida International Airport. The partners acquired the land for $40 million, according to Lee County property records. Procuring such a desirable site in the area was no simple accomplishment.

“There are considerable challenges in securing land that is suitable for development because of wetland and floodplain issues,” Kyle Jones, director of investments with Butters Group, told Commercial Property Executive. “Having avoided those challenges, we are especially enthusiastic about the land we have acquired and the exceptional future development opportunities that we believe are in store for the Gulf Landing Logistics Center with its favorable proximity to I-75.”

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Gulf Landing’s first phase will encompass seven buildings. Presently, the partners’ plan for the project entails a total of 14 structures designed in various sizes and configurations to address the needs of a range of tenants. One segment of the park will consist of flex space featuring light industrial facilities and office space, with the remaining segment offering accommodations for bulk distribution, e-commerce and other light industrial users. The development will also provide build-to-suit opportunities. Construction of Gulf Landing is scheduled to begin in the fall of 2022.

The size of things

At full buildout, Gulf Landing will be one of the largest commercial and logistics developments in Southwest Florida. The market can handle it.

“Our partnership views Southwest Florida as a region with significant economic upside. The region is increasingly growing as a destination for entrepreneurs and established businesses that are creating wealth and employment across many sectors,” Jones said. “The pandemic has sparked a shift in the demand curve in virtually every industry, which in turn places even greater importance on the need for the Gulf Landing Logistics Center and its future properties to serve the needs of hyper-growth industries.”

Gulf Landing Logistics Center site plan. Image courtesy of courtesy of Butters Group

The numbers support Jones’s assertion. As noted in a report by Cushman & Wakefield, in the first quarter of 2022, industrial demand continued to outpace supply across the country for the sixth consecutive quarter, driving the national vacancy rate down to an unprecedented 3.3 percent, and the vacancy rate in Southwest Florida was nearly half that, at just 1.7 percent. The market is even tighter in Fort Myers, where the vacancy rate didn’t break the 1 percent mark at a mere 0.6 percent.

Butters and BentallGreenOak expect the first phase of Gulf Landing to be ready for occupancy in the third quarter of 2023.