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Business Journal: McClellan Business Park And Industrial Buildings During The Pandemic

Friday, November 13, 2020 | Sacramento, CA
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Big changes are coming during the final phase of development for Sacramento's McClellan Business Park.

The former air force base has been decommissioned for nearly 20 years and has been transitioning to a combination of industrial and office spaces and has been renamed McClellan Park. As of the 2010 census, over 700 people live there.

CapRadio’s Mike Hagerty talked with Sacramento Business Journal Editor-in-Chief Adam Steinhauer to learn more.

Interview Highlights

On the latest developments

The owners of McClellan Business Park are working on a three-building development. They’re in the early stages of it, but it’ll have 400,000 square feet or so of new industrial space.

It’s on about 24 acres or so at Winters Street and North Dudley Boulevard. It’s the last unbuilt space in that area.

On the size of the new buildings, when construction will start and new tenants

There will be three [buildings]. They will range inside from about 7,600 square feet to 180,000 sqft, and these will be warehouse distribution center-type buildings. We were told by management at McClellan and each could be leased to either a single tenant or divided up for several smaller tenants.

They do not [have tenants lined up] at this point. These are being built speculatively — McClellan Business Park has done well with that recently. The last building — which is basically next door to this site — was recently occupied by a company that appears to be affiliated with Amazon.

We were told [construction] is likely to start in the spring, and the buildings are likely to be available later next year.

On how the industrial property market is like in Sacramento during the COVID-19 pandemic

Industrial development is actually holding up quite well, not only with the new tenants at McClellan, but also at other developments, including Metro Airpark near the airport.

That’s a sector that’s done well, and it may have benefited in some ways from the pandemic with the growth of e-commerce; that’s created a lot of demand for that kind of space.


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