As Salt Lake City and state officials work toward a compromise on the management of the Northwest Quadrant and proposed inland port, one of the quadrant’s largest landowners is ready to move forward with the area’s first large private development.
On Wednesday, developers, NWQ, LLC, a joint venture between Colmena Group, Wadsworth Development Group and Stokes Partners, announced the launch of Phase 1 of the SLC Port Global Logistics Center, a proposed 3,000-acre logistics park that will occupy a large portion of the city’s Northwest Quadrant.
According to a statement, the SLC Port Global Logistics Center will have the capacity to accommodate up to 50 million square feet of Class A speculative and build-to-suit buildings, combined with owner-occupied and mega-site land for sale. The first phase of the development will consist of 10 buildings totaling approximately 7.5 million square feet of bulk distribution and manufacturing industrial space. The developers expect to complete construction of the first two buildings, consisting of 532,000 square feet and 170,000 square feet respectively, in the spring of 2019.
“The development of the Northwest Quadrant of Salt Lake City is one of the most noteworthy events to take place in the local industrial market in the area’s history,” said Jeff Richards, senior vice president with CBRE in a statement. “Given the market’s current size of approximately 130 million square feet, the addition of SLC Port Global Logistics Center has the potential to increase the total market size by nearly 39 percent. This land was not historically available for development, so this project will dramatically alter the landscape of the local industrial market.”
CBRE with handle listings for the logistics center. Last month the Salt Lake City Council, acting as the Board of Directors of the Redevelopment Agency of Salt Lake, voted to enter into a development agreement with NWQ, LLC. The bulk of the properties are within the boundaries of the newly created Community Reinvestment Area (CRA) Plan for the Northwest Quadrant (NWQ), a 3,000-acre area north of Interstate 80 and west of the Salt Lake City International Airport.
“We are very excited to work with the City, the State and future tenants to attract business and enterprise to an area which is now living up to its immense potential,” said Kip Wadsworth of Wadsworth Development Group in a statement. “Being located next to two major freeways, just five minutes from an international airport, and ten minutes from downtown is extremely rare—particularly for industrial sites. We are excited to make this project a reality.”
Because of the size and scope of the SLC Port Global Logistics Center, the proposed inland port will most likely be located in the development area. On Tuesday, the Salt Lake City Council adopted an ordinance that will help facilitate the development of the inland rail port. The approved ordinance will define the conditions of an inland port, allow a freight terminal within 5 miles of a similar facility, allow crane heights up to 85 feet and allow for grain silos and rail repair facilities in the M-1 (Manufacturing) zoning district.