In a striking move for the local economy, Tempe-based e-commerce venture PipShip is packing up its operations and heading to an expansive new home in Gilbert. The company snagged over 40,000 square feet of space in the El Dorado Tech Center, located at 2075 W. Obispo Ave., as part of its plan to grow its distribution and e-commerce reach in the Valley, according to a report by the Phoenix Business Journal.
Maneuvering through the real estate market, Phoenix's ViaWest Group, which had just recently acquired a six-building industrial portfolio for $71.8 million, has now reached over 98% occupancy thanks to PipShip's move. The deal brings not only a significant tenant to the area but also adds to the strategic positioning of the metro Phoenix market as a burgeoning hub for tech and commerce, said Alex Hondros, Senior VP of Acquisitions and Asset Management of ViaWest Group, in a statement obtained by In Business Magazine.
PipShip's relocation is seen as a testament to the growing business-friendly climate in Gilbert. With the new venue offering storage and warehousing capabilities, alongside e-commerce and retail fulfillment, the company is positioning itself to better serve its client base. Steve Larsen and Jason Moore of JLL, the real estate firm representing ViaWest, highlighted PipShip's unique status as a woman- and family-owned fulfillment enterprise that has garnered high respect from its clientele, the Phoenix Business Journal reported.
The Gilbert industrial park comes with modern amenities suitable for a company like PipShip, offering 30 feet of clear height, dock-high and grade-level doors, and ample parking space, which is expandable. Its location within the heart of Gilbert's office market, and proximity to major freeways, make it a strategic operational site, as indicated by the details shared by In Business Magazine. The southeast Valley has already seen significant leasing activity in the first quarter of 2024, marking more than 200,000 square feet of positive net absorption, a clear indicator of the area's industrial growth.
As the dust settles on this significant lease agreement, JLL brokers Mark Detmer, Greer Oliver, Ryan Sitov, and Connor Nebeker-Hay, who handled the sale representing Clarion Partners back in February, can celebrate another feather in their cap, the success is not theirs alone. ViaWest's acquisition spree in Phoenix has culminated in an empire of 42 industrial properties covering over 8.2 million square feet, a robust testament to the company's strategy of investing in and revitalizing top-notch industrial spaces in the region.
