Westcore Reenters the Reno Market with 632K-SF Industrial Acquisition
Fully Leased Distribution Center Sits Adjacent to Tesla’s Gigafactory Nevada
Westcore, a leading industrial real estate acquisition, development and asset management firm, acquired a 632,130-square-foot distribution center in the Tahoe-Reno Industrial Center (TRIC). Westcore purchased the property from an undisclosed seller for $82.5 million.
“We believe the maturing Reno industrial market has good runway for growth,” said Westcore Managing Director Peter Mette. “Part of that dynamic includes a great business climate for tenants, with lower occupancy costs, a more tenable regulatory environment and lower labor costs than other West Coast markets.”
The modern, cross-loaded distribution center, located at 700 Milan Drive in Reno, Nevada, includes more than 200 trailer stalls on 34 acres. Its energy-efficient design earned the facility a LEED Gold Certification from the U.S. Green Building Council. Contributing factors include 2% skylights, insulated Low E-glass, premium HVAC units, energy-efficient lighting and recycled steel. Other building features include ESFR sprinklers and the ability to secure the site.
The distribution center is 100% leased. Tenants enjoy one-day truck service to seven states. The Reno Tahoe International Airport and the Union Pacific Intermodal Hub in Sparks are just 20 minutes east.
The distribution is adjacent to Gigafactory Nevada, which represents a $6.2 billion investment in this market by Tesla. The Gigafactory generates substantial demand for real estate not only from Tesla but also its numerous suppliers.
`In 2019, Westcore divested an approximately 1.2 million-square-foot industrial portfolio in Reno. 700 Milan Drive is its first purchase in this market since that time.