By Jack Stubbs
San Francisco-based Prologis, a global leader in logistics and industrial real estate development, recently revealed plans for a project in San Leandro, a city across the East Bay from San Francisco.
According to project documents submitted to the City in early August, the company has plans to construct a 245,000 square foot new speculative industrial building at 880 Doolittle Drive, which will replace the existing 213,000 square foot building on the roughly 13.7-acre site.
While the proposal on the city’s website suggests that the project will total 245,000 square feet, the description on Prologis’ website indicates, contrastingly, that the redevelopment will provide 250,744 rentable square feet.
The project, dubbed “Prologis San Leandro 33”, includes two grade-level doors and 56 dock-high doors and has a “clear height” of 32 feet. It will look to capitalize on its optimal location and surrounding demographic opportunities therein.
“Centrally located in the Bay Area, this premier high throughput distribution facility offers the unprecedented opportunity to reach one of the wealthiest regions in the world with the ability to reach a population base of 10 million consumers within 90 minutes – faster than any other logistics facility in the region,” the developer’s website states.
The property is located inside San Leandro’s Industrial General district, just off Interstate 880 and just over one mile from Oakland International Airport (OAB).
Prologis acquired the San Leandro redevelopment site for $36.1 million in October of 2018, according to The Registry’s reporting. The property was marketed by HFF on behalf of the seller, a joint venture between Parking Acquisition Ventures, LLC, and an affiliate of Oz Real Estate.
At the time of the sale, HFF’s press release detailed some tentative plans for the site.
”Prologis has long-term plans to develop the site, now being used for off-airport parking at [OAB], into a state-of-the-art distribution center with a focus on e-commerce. The HFF team structured a sale-leaseback, which means the parking lot operator will maintain the ability to service OAB’s parking needs for years to come,” the press release stated.
It is not entirely clear who the tenant at 880 Doolittle will be. Amazon previously filed plans with the City of San Leandro in 2020 to lease a 98,000-square-foot custom-built industrial facility on the site to be used as a last-mile delivery station, according to a recent report from The Puget Sound Business Journal. However, a person familiar with the project said Amazon has since dropped it.
The recently revealed plans for 880 Doolittle come on the heels of several other transactions of which Prologis has been a part. In mid-June, Cedar Fair, L.P., a leader in regional amusement parks, water parks and immersive entertainment, announced it has sold the land at its California’s Great America amusement park to Prologis for approximately $310 million in a transaction marketed by CBRE. The Company will continue to operate the park for a period of up to 11 years and then will close existing park operations at the end of the lease term.
Additionally, in early August, Williams Sonoma leased 1.12 million square feet from Prologis’ International Park of Commerce project in Tracy. The transaction was completed with the assistance of Colliers through its Logistics and Transportation Group in greater Northern California.