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Construction underway for 1.2M-SF spec warehouse in TGS Cedar Port Industrial Park

October 5, 2022

Construction has started on another 1.2 million-square-foot speculative warehouse in the massive TGS Cedar Port Industrial Park outside Baytown in Chambers County.

TGS Cedar Port DC 4, expected to be delivered in the first quarter of next year, is the second 1.2 million-square-foot warehouse TGS Cedar Port Partners LP has started building within the past year and the last of four spec distribution centers totaling more than 3 million square feet the company has planned to deliver by early next year. At least one of those, the other 1.2 million-square-foot facility, is off the market.

The Houston Business Journal has reached out to Houston-based Partners, the leasing agent for TGS Cedar Port spec buildings, for more details.

The new warehouse is being built at 7505 Fisher Road, just off the Grand Parkway, and will have 40-foot clear height, an 8-inch minimum slab, up to 325-foot truck courts, a ring road around the entire building and truck courts, LED warehouse lighting, an ESFR sprinkler system and parking for up to 1,000 cars and 1,000 trailers.

DC 4 can be expanded to more than 2 million square feet, and the additional land can be fully fenced and used for trailer and car parking or outside storage, according to Partners. Fisher Road is being expanded to a five-lane heavy-haul road as access to the site.

John Simons, Gray Gilbert and Chris Haro with Partners are the leasing agents for the project. Sugar Land-based E.E. Reed Construction LP is the general contractor, and Houston-based Powers Brown Architecture is the architect.

TGS Cedar Port Partners said it has retained 100% equity in the project with Guardian Life Insurance providing construction loan financing.

The 15,000-acre TGS Cedar Port is the largest master-planned, rail- and barge-served industrial park in the United States and fifth largest industrial park in the world, according to its website.

It has access to the Grand Parkway, Interstate 10, state highways 225 and 146, and the Port of Houston’s Bayport and Barbours Cut container terminals.

Beaumont- and Houston-based TGS, or Trans-Global Solutions Inc., formed a partnership that purchased Cedar Port in December 2014. The company is a provider of transportation, comprehensive railroad and heavy civil construction services.

Major warehouse tenants at the industrial park include Walmart, Home Depot, Target, Floor & Décor, Article, Niagara Bottling, Webstaurant, Plastic Express, Ikea, Ravago and Vinmar.

TGS Cedar Port has more than 25 million square feet of industrial and manufacturing warehouses completed or under construction and had more than 4 million square feet of lease absorption in the past 12 months, according to Partners.

Last year was a record year, according to TGS, as more than 10 million square feet of warehouses were built in Cedar Port.

More than 11,000 total acres are still available for sale, lease, design-build and build-to-suit developments.

By Florian Martin, Houston Business Journal