Prologis Logistics Center Building IV

Summarize the project's program, features and achievements.

This $17 million project includes work on a 438,687 SF shell structure with 40-foot clear heights. This concrete tilt-up, single story, CROSS-DOCK distribution structure includes a hybrid roof system and was built on 20.38 acres. This large-scale building is one of the most energy efficient of its kind, which will have a long-term effect of keeping operation costs lower for the tenant. The shell portion of this project earned Gold certification under the LEED Core and Shell Rating System. This hard bid project was constructed with 263 tons of steel, erected in columns, stairs, handrails, ledgers and embeds. There was also 55,100 linear feet of sprinkler pipe installed, 25,251 yards of concrete, 20,000 linear feet of utility conduits, 4,095 linear feet of UG fire line and 674 tons of joists.

What obstacles were overcome related to the schedule, budget, program, specification, site, etc. on this project?

This project was built during the height of the Covid pandemic, which created staffing and supply chain issues. To stay on schedule, three different electrical contractors were brought into the job due to a shortage of tradespeople. Project was submitted to planning right at start of Covid Pandemic. Over the counter submittals were not allowed at this point. Planning process was dragging on over 6 months jeopardizing final Certificate of Occupancy for the end user to move into building.

Communicate any engineering complexities or unique features of the panel design for this project.

The project site design included alternative transportation measures including preferred parking for low-emitting and fuel-efficient vehicles as well as reduced parking capacity. The urban heat island effect was reduced by incorporating a high SRI roof and hardscape areas. Potable water demand for irrigation was reduced by more than 80%. The project design team called for high efficiency envelope, equipment and fixtures resulting in a 68.6% energy cost savings as compared to ASHRAE 90.1 2007. Construction side efforts include the diversion of more than 80% of construction waste from landfills as well as the procurement of 42% local materials and 30% materials with recycled content. The indoor environmental quality was considered during construction by adhering to the SMACNA IAQ Guidelines for Occupied Buildings Under Construction and using low emitting materials, such as adhesives, paints, and composite wood products. Each of the innovation points were awarded for exemplary performance for energy performance and material procurement as well as installing lamps that do not contain any mercury. The electrical and pump room was built inside the building, which was constructed out of tilt panels and was lower than the finished floor of the slab of the building floor. This also required the SES inside electrical room was a custom “L” shape section. This required multiple coordination meeting with SRP, City of Phoenix, subcontractor and supplier.

What is the potential for this project's impact on the community and/or environment?

The team landed the best tenant improvement in this market for this size speculative building. Even before the shell structure was completed, Prologis was able to fully lease up this project to an international company, Hello Fresh, on a 10-year term, with four months free and $0.45 triple net lease. The land basis rate on this project was a low $7.50 per square foot. The development team was able to lower initial building costs by locking in pricing on materials early, before those costs rose in 2021. In all, the project resulted in a 63-percent profit margin and $24.2 million in value creation for Prologis. HelloFresh is one of the most popular meal kit delivery services in the world, with 3.5 million customers in the United States and 7.2 million globally. This project created the company's largest fulfillment center. This facility will employ 1,700 people when fully staffed, generating millions in tax revenue for the state.