West Palm Beach-based McCraney Property Company plans to break ground this month on a major new industrial park at the key crossroads of S.R. 429 and the Florida Turnpike in Ocoee.
Company CEO Steven McCraney confirmed Tuesday that he closed on the 43.9-acre site on Monday, and plans to begin site work in a couple of weeks. The South Florida developer paid $5.927 million for the vacant land. The seller was an LLC affiliate of College Park-based dentist Bruce Gordy.
The park, dubbed Distribution 429, will consist of three buildings totaling 653,000 square feet of new spec space. The property is accessible off Maguire Road and set southeast of the Franklin Street and S.R. 429 intersection.
McCraney, called the Ocoee market the "epicenter for industrial growth" in Central Florida, with demand for last-mile hubs outpacing supply. He said he sees strong demand for industrial developments along key arteries that form distribution paths throughout Central Florida and beyond.
"Our eye has been focused on the (S.R.) 429 corridor for some time," McCraney told GrowthSpotter via e-mail. "While much of the past growth in Orlando's industrial hub has concentrated on the south Orlando market, northwest Orlando is exhibiting considerable residential and commercial growth. We feel that this is the new 'it' place for industrial distribution and last-mile delivery."
William "Bo" Bradford, a principal with Lee & Associates, represented the buyer and seller in the sale. Bradford said the site's many attributes make it a can't-miss for success in the exploding e-commerce market.
Those include redundant major roadways going in all directions; a nearby pool of labor, affordable housing in Ocoee, Winter Garden and Apopka; and proximity to high-end living in Windermere, Isleworth and Keene's Point.
"You have a really good mix of ingredients there for a great project to occur," Bradford said.
The park will consist of three shallow-bay industrial buildings -- 104,950 square feet, 145,164 square feet and 402,582 square feet in size -- and ranging from 180 feet to 440 feet in depth, in line with the target size of buildings McCraney is developing throughout the Southeast.
McCraney initially filed plans for the project in Ocoee in September 2017. The City Commission has approved the first two buildings, and on April 10 the Planning and Zoning Board reviewed plans for the third building, with staff recommending approval.
McCraney said the buildings will incorporate his company's signature clean facades and high-finish design and technological advances which appeal to quality end-users requiring freight forwarding, third-party logistics (3PL), and fulfillment needs.
The buildings are tailored for tenants who mostly do business in a 5- to 50-mile radius from the customer, McCraney said. He cited research showing the market segment for industrial assets under 250,000 square feet represents 70 percent of the total U.S. warehouse stock but only 17 percent of completions. The average U.S. industrial user wants from 15,000 to 50,000 square feet, he added.
"As demand for industrial product remains strong in Florida's major markets, we are already seeing strong tenant interest at Distribution 429," McCraney said.