Majestic Realty Co. will soon break ground on Colorado’s largest-ever single-building speculative industrial development in Aurora, building 701,500 square feet near Interstate 70 and Tower Road.
Majestic’s new building is expected to break ground in June and to be complete in the first quarter of 2018. It will be built on 36 of the 1,000 acres in the Majestic Commercenter.
Majestic in 2015 purchased 530 acres of land adjacent to parcels it already owned and announced plans to develop as much as 7 million square feet of industrial space in Aurora.
“With 450 acres of undeveloped land still available in our park, and another 500 acres available directly adjacent in our next phase that will accommodate multiple 1 million-square-foot buildings, our focus will continue to be on delivering quality product in a timely fashion to meet the needs of a diverse range of users looking for space needed to service the Rocky Mountain region and beyond,” Hertel said.
Majestic is also working on a three-building development totaling 834,000 square feet that is expected to be complete in October. Four leases totaling 537,000 square feet were recently signed for space in that development:
Keystone Automotive Group leased 215,000 square feet.
Electrolux Corp. leased 167,000 square feet.
Quality Custom Distribution Services leased 155,000 square feet.
Shamrock Foods leased 85,000 square feet.
“We’re extremely happy to both welcome and grow with these companies at Majestic Commercenter. These lease agreements include both new tenant relationships, as well as some expanding, long-term relationships and demonstrate that our calculations for the market’s needs were spot on,” said Randy Hertel, executive vice president of Majestic, which is based in suburb of Los Angeles.
Majestic developed Amazon.com Inc.’s first building in Colorado, a 450,000-square-foot warehouse in Aurora. Amazon is building another warehouse in the same vicinity that will total 1 million square feet and employ 1,000 people.
Industrial space in metro Denver is in high demand, with low vacancies and increasing rents persisting for more than two years. Speculative construction is usually pre-lease well in advance of the building’s delivery and new construction is increasingly hard to build because of high land and materials costs.