Industrial Real Estate Developments

City Furniture to seek Orlando warehouse space in 2018 to support area stores

View of a City Furniture warehouse in South Florida.

City Furniture will seek up to 120,000 square feet of warehouse space in the coming year to support its first two stores in the market that are pegged for 2019 openings, the company's president told GrowthSpotter.

The retailer has construction plans under review with the city of Orlando for a 120,000-square-foot showroom at 4751 Vineland Road, south of the Audi of South Orlando dealership and west of the Mall at Millenia.


City Furniture paid $11.3 million for that 6.1-acre site in mid-April. Work on that $10 million-to-$15 million project is estimated to start in First Quarter 2018 with an opening 12 months later, said Keith Koenig.

In Altamonte Springs, where the company paid $4.9 million in January for 7.48 acres fronting Interstate 4, City Furniture has had to pass through a replatting process with the city which has delayed plan approvals by months, but led to a bigger store footprint.

View of a City Furniture showroom in Boca Raton.

A Development Plan for the now 140,000-square-foot store and separate 28,000-square-foot office building for lease is still under city review, as are construction plans running concurrently. Work on that site is expected to be staggered later into Second or Third Quarter 2018, said Koenig, with a mid-2019 opening projected.

Plans for a third location in Kissimmee, which would house a 240,000-square-foot building to be divided between a warehouse and showroom, are off the table for now after site development costs were deemed too high, Koenig said. That 10- to 15-acre Kissimmee site was a portion of 85 acres within the Flora Ridge PUD that lies across Osceola Parkway from The LOOP.

So with that Kissimmee plan now delayed to 2020 or beyond, next year City Furniture must lease 100,000 to 120,000 square feet of warehouse space in Orlando as a short-term solution to supply its two new area stores, Koenig said.

Ryan Cronin, vice president of real estate out of City Furniture's Tamarac office, is leading that warehouse site selection, with aim to have a lease in place by mid-2018.

On the Millenia-area store, City Furniture has two finalist general contractors preparing bids for the project now, and several bank offers for its mortgage needs on the property, Koenig said.

On the Altamonte Springs store, Miller Construction of Fort Lauderdale will serve as GC, having worked on many of City Furniture's 16 locations in the state.

A commercial real estate brokerage firm has yet to be hired to market the Altamonte office space for pre-lease.

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