Development of Parkside Commerce Center, a New Premier Class-A Industrial Facility, Launches in RTP
StockNews.AI · 2 hours
AI Summary
Foundry Commercial, on behalf of Hines and an Ares Real Estate fund, started construction of Parkside Commerce Center, a four-building, 809,141 SF Class A industrial project near RTP. Phase I delivers 521,548 SF in Q4 2027, with Phase II adding 287,593 SF. The venture expands Ares' growing logistics exposure and could lift asset value and related fee earnings over time.
Sentiment Rationale
Direct exposure to a major industrial project expands Ares’ real estate footprint, potentially increasing AUM, development fees, and NAV; positive sentiment but longer-gestation before measurable earnings impact.
Trading Thesis
Bullish over 12–24 months as development progresses and leasing gains traction.
Market-Moving
- Parkside Commerce Center totals 809,141 SF of Class A industrial space near RTP.
- Phase I comprises 521,548 SF across two buildings, delivering in Q4 2027.
- Phase II adds 172,289 SF and 115,304 SF across two more buildings.
- Ares and Hines co-own the project; Foundry Commercial handles leasing.
- RTP Class A vacancy near historic lows supports robust leasing demand.
Key Facts
- Parkside Commerce Center is an 809,141 SF four-building Class A industrial project near RTP.
- Phase I delivers 521,548 SF in Q4 2027; Phase II adds 287,593 SF.
- Ares Real Estate fund and Hines co-own; Foundry Commercial handles leasing.
- RTP Class A vacancy has been near historic lows, supporting demand upside.
- Phase I buildings: 237,824 SF and 283,724 SF with 63 trailer stalls each.
Companies Mentioned
- Ares Management Corporation (ARES): Co-owner of Parkside Commerce Center; potential asset-level NAV uplift and fee revenue.
- Hines (N/A): Co-owner; private company; contributes JV economics and development capabilities.
- Foundry Commercial (N/A): Leasing agent for Parkside; private firm with market access to RDU submarket.
Industry News
Industry News detailing a notable real estate development in a key logistics market, highlighting Ares’ ongoing real estate investments and JV activities.