TRACY, CALIF. — AMB Property Corp., an industrial real estate developer, plans to enter California’s Central Valley with a 658,000-square-foot build-to-suit development in Tracy.
The facility has been named AMB Pescadero Distribution Center and will serve as the regional distribution center for a major retailer, whose name has not been disclosed.
AMB says they are looking ahead past the economic slump to the future. “Retailers are taking space, even in this current economic climate, in order to reconfigure their supply chain and gain increasingly-important operational efficiencies,” said Mark Saturno, managing director of the company’s West Central Region.
Although Tracy has a relatively small commercial real estate presence, there is room for continued growth. The facility will be located near Interstate 5, the main north-south highway on the West Coast from Seattle to San Diego, and Interstate 580, which connects the Central Valley and the San Francisco Bay Area.
“California’s Central Valley is rapidly gaining momentum as a preferred distribution location from which customers can, in one day, reach the major population centers of the Western U.S.,” Saturno said.
Scheduled to meet LEED standards, the facility AMB’s San Francisco Bay Area market portfolio now totals approximately 11.6 million square feet of operating and under development properties. As of 2008, AMB either owns or has stake in approximately 150.2 million square feet in 45 markets within 14 countries.