Merit Partners buys land for $1.5b Glendale industrial park

Merit Partners has acquired 614-acre parcel of land in Glendale, Ariz., where a $1.5 billion logistics park will be developed.

Merit Partners, First Industrial Realty Trust and Diamond Realty Investments will develop the project as a joint venture.

The outlook for the Greater Phoenix industrial market remains extremely healthy, according to Colliers International. Net absorption peaked at more than 2.6 million square feet during second quarter 2020, marking the fifth consecutive quarter above 1 million square feet, with year-to-date positive absorption of 3.7 million square feet. Warehouse and distribution tenants will rapidly see the benefits of increases in online purchasing.

Vacancy in the Greater Phoenix industrial market increased over the quarter by 10 basis points, and over-the-year vacancy increased only 70 basis points to 7.7 percent.

Development activity rose to 11.6 million square feet under construction in an effort to meet persistent demand.