The city issued a permit Feb. 3 for ARCO Design/Build to build a 101,137-square-foot speculative warehouse – Park 295 Landing – for a group led by Hazel Street Capital LLC at Park 295 Industrial Park.
The permit shows a project construction cost of more than $12.4 million.
The group paid $1.743 million Nov. 1 for the property at 2555 Ignition Drive in Northwest Jacksonville. The site is at southwest Interstate 295 and Duval Road, near Jacksonville International Airport as well as JaxPort and I-10 and I-95. It sits at the entrance to Park 295 Industrial Park.
Through FP-Hazel Park 295 Owner LP of Hoboken, New Jersey, Hazel Street Capital bought 7.58 acres from Northpoint Development LLC of Kansas, City, Missouri.
The buyer is a venture with Faropoint, a real estate investment manager based in Hoboken.
The sale came as the city issued a site-clearing permit Oct. 31 for Hazel Street Industrial to clear land for the final building of five at the 175-acre Park 295 Industrial Park that Northpoint is developing.
ARCO Design/Build also was the contractor for the almost $3.64 million project to clear the site. The permit was issued Oct. 31.
BGE Inc. of Jacksonville is the civil engineer and landscape architect. ECS Florida LLC of Jacksonville is the environmental consultant and geotechnical engineer.
NorthPoint Development of Kansas City, Missouri, is the developer of Park 295. It sold the land to Hazel Street through NP Jacksonville Industrial LLC.
Florida Division of Corporation records show Robert Fitzgerald and James Ryan registered Hazel Street Capital LLC with the state April 8, 2024.
Hazel Street Capital, which rebranded as Hazel Street Industrial, expects to complete Park 295 Landing, its first Jacksonville project, in the fourth quarter of 2025.
Miami Beach-based Hazel Street designed the 101,000-square-foot speculative building for four 25,000-square-foot tenants with the flexibility for two 50,000-square-foot tenants.
Co-founder and Managing Partner Robert Fitzgerald said Nov. 13 the suites will include 1,300-square-foot office spaces and the tenant units will be painted and lighted.
“Our focus is delivering the best product for this size range that these tenants have available in the market,” Fitzgerald said.
In Jacksonville, he sees a market with strong economic fundamentals and a tight supply for space in its target tenant market.
He also says tenants in that size range move quickly to lease space and start operating.
“We want someone to walk into our space and see themselves operating in it,” he said.
“And we want to get people into the building as soon as possible.”
Hazel Street expects demand from service-based businesses, such as building supply and HVAC companies that use the space for headquarters, storage and distribution.
Fitzgerald also anticipates demand from smaller regional third-party logistics companies, regional distributors and import-export businesses, given the location.
“When we look out in the market, we see that those tenants usually are constrained to older vintage buildings that aren’t functional for their use and for their tenancy, and a lot of the new industrial buildings that are coming online are trying to target larger tenants,” Fitzgerald said.
“We have seen that theme throughout the past five years where the majority of the new development targets the 100,000-square-foot-plus tenant.”
Newmark Phoenix Realty Group Senior Vice President Richard Antczak represented NorthPoint in the property sale.
Antczak and Newmark Phoenix Realty Group Senior Vice President and Principal Bryan Bartlett represent Hazel Street in leasing the property.
Northpoint planned five buildings totaling about 1.7 million square feet of industrial space on its 139 developable acres at the business park.
The first four buildings, totaling 1.6 million square feet of space, are developed and leased.