Logistics company signs 137,000-SF lease in Pasadena
Memphis, Tennessee-based Dunavant Distribution Group has added 137,280 square feet to its Pasadena location thanks to a lease signed earlier this month. The additional space brings the third-party logistics company’s presence at Bay Area Business Park to just under 1 million square feet.
Dunavant Distribution focuses on supplying companies with their logistical practices and technology.
Dunavant Distribution was represented by John Nicholson of the Houston office of Colliers International (NYSE: CIGI) during lease negotiations. The landlord, PEPF Red Bluff, was represented by Justin Robinson and Jeff Pate of Dallas-based Stream Realty.
The terms of the lease were not disclosed. However, CBRE (NYSE: CBRE) reports that the average asking rent for industrial space in the southeast Houston submarket in the fourth quarter of 2019 was 62 cents per square foot per month.
Bay Area Business Park is a massive industrial complex located at 10619 Red Bluff Road in Pasadena.
Dallas-based Stream Realty Partners has been developing the business park since 2009, when it broke ground on the first phase of the project. Phase one of the development provided 1.2 million square feet of industrial space
The second phase totaled almost 850,000 square feet and was completed in 2016. Bay Area Business Park won the Houston Business Journal’s 2017 Landmark Award in the Industrial category for the completion of phase two.
Stream recently announced it is preparing to move forward with phase three of the development after acquiring a 95-acre parcel located adjacent to the existing business park. Tom Dosch, principal at Dosch Marshall Real Estate, represented Stream Realty in purchasing the 95-acre land tract where phase three will be built.
The latest expansion to the park will consist of three buildings, totaling 1.33 million square feet, at 250,000, 300,000 and 784,000 square feet, respectively. The largest building can be expanded to 1 million square feet, if needed, Stream said.
Bay Area Business Park is owned by Iowa-based Principal Real Estate Investors.