Stonelake Kicks Off Suburban Austin Spec Project

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Stonelake Capital Partners has broken ground on Georgetown Logistics Park, a three-building speculative industrial complex totaling 620,000 square feet in the Austin suburb of Georgetown, Texas. The Class A distribution facilities will be built in a single phase and are expected to come online in March 2023.

In March, Wells Fargo Bank originated a three-year construction loan for the project, CommercialEdge data shows. The industrial park at 1800 Aviation Drive will include:

• a cross-dock building totaling 426,240 square feet with 40-foot clear heights as well as 82 trailer parking spaces
• a 123,200-square-foot shallow bay structure with a rear load configuration and 36-foot clear heights
• another rear-load building with 32-foot clear heights encompassing 70,300 square feet

The development team includes Powers Brown Architects and Pape Dawson Engineers heading the design as well as Zapalac Reed serving as general contractor. Stonelake Capital Partners selected JLL to market the property. The leasing team includes Managing Director Ace Schlameus, Vice President Kyle McCulloch and Associate Greta Reid.

The Georgetown industrial pipeline

Based on CBRE data, in the first quarter of 2022, the overall industrial vacancy across the Austin metro dropped to 4.1 percent. Georgetown led all submarkets when it came to development: 1.7 million square feet of industrial projects under construction, followed by the East submarket (1.5 million square feet) and the Far Northeast (1.2 million square feet).

Georgetown Logistics Park will take shape half a mile away from Georgetown Municipal Airport and within a mile of Interstate 35. The Austin suburb is also drawing other developers. In April, Titan Development continued the expansion of NorthPark35 Industrial Park, a 1.7 million-square-foot complex adjacent to the Stonelake project. Titan plans to deliver Building 5, totaling 297,057 square feet, in the last quarter of the year.

In March, Stonemont Financial Group acquired an 18-acre development site for Westinghouse35, an industrial spec project in Georgetown. The 230,000-square-foot building is expected to be delivered in 2023.