The Mesquite City Council on Sept. 3 unanimously approved the terms and conditions of a Chapter 380 Agreement for Prologis, a multinational logistic real estate investment trust headquartered in San Francisco.
The company will construct a new industrial building in the Skyline Industrial District located at 5181 Samuell Blvd.
A Chapter 380 agreements is designed to promote local economic development and stimulate business and commercial activity in the city.
Director of Economic Development David Witcher said Prologis is the world’s largest owner of warehouse and distribution centers, and as of June 30, it had $104 billion in total assets under management. The company operates in 19 countries and has 3,771 logistics and distribution centers worldwide.
The speculative industrial building will be 237,473 square feet on a 14-acre site.
“It’s projected to create 150-200 jobs,” Witcher said.
“We have estimated that this will generate at least $8 million in business personal property, and the land according to DCAD was valued at approximately $1 million per the 2019 valuation,” he added.
According to the presentation, the developer’s obligation would be to construct a 237,472 square-foot industrial building on 14 acres, with a target date of Jan. 1, 2020. Its capital investment of $16.5 million in real estate real property improvement, with a minimum appraisal valuation per DCAD of $13 million. The company is to obtain a certificate of occupancy of the commercial building by Dec. 31, 2020 for one-third of the building space or 79,000 square feet to be leased, and payment of all of the fees that are to be reimbursed.
The city’s obligation is to reimburse 50 percent of water, sewer and roadway impact fees up to $100,000 upon issuance of first certificate of occupancy in a form of a grant.