Big Bucks for a Box: The $38.76M warehouse…that’s not even built yet

You wouldn’t believe the hullabaloo some people make about a slab of concrete, but here goes.

Cushman & Wakefield, those bigwig real estate folks, couldn’t wait to puff out their chests and tell the world they helped broker the forward sale of an industrial building in Escondido, California. Fancy name, right? Forward sale. It’s just code for “selling something that’s not even finished yet,” which in this case was an 88,552-square-foot building sitting on about 9.5 acres at 1960 Citracado Parkway. You’d think they were announcing the cure for boredom, but nope, just another boxy industrial building.

Anyway, the buyer was the San Diego County Water Authority—SDCWA if you’re trying to sound important at a cocktail party. They snapped up the property for $38.76 million while the ink on the blueprints was probably still drying. That’s right, $38.76 million for a place that wasn’t even done yet. And I thought buying a used car sight unseen was risky. Guess if you’re in the water business, you’ve got to make a splash somehow.

Apparently, this purchase is part of some grand master plan. The Escondido Logistics Center—it sounds like a dystopian warehouse for shipping dreams—is supposed to be two buildings. The second one, a mere 58,502 square feet (pocket-sized, really), is still under construction. Cushman & Wakefield’s dream team, Aric Starck and Drew Dodds, are handling the sales pitch for that one too. Maybe they’re hoping someone will fork over another truckload of cash before it’s finished. Who knows? January 2025 is the big deadline for that masterpiece.

Aric Starck, who probably has “Executive Vice Chair” stamped on his business cards in bold gold letters, had some polished words to say about the sale. Something about “a unique industrial acquisition opportunity” and “highly desired markets.” You know, the kind of corporate babble that makes you wonder if people like him even notice the weather outside. He made sure to point out that this is the first speculative industrial development in Escondido in five years. I guess that’s supposed to be impressive, but honestly, who’s keeping track?

The building itself? Well, they’re trying hard to make it sound like the Taj Mahal of warehouses. It’s got 28-foot clear heights—whatever that means—heavy power, a truck court, and a bunch of loading positions. Oh, and don’t forget its “elevated hillside location,” which supposedly gives it great visibility. From what, though? The freeway? The clouds? Your guess is as good as mine. At least it’s near Palomar Hospital and some retail spots, so you can grab a burger while contemplating the beauty of industrial real estate.

Drew Dodds, Aric’s partner in deal-making, chimed in too. He called the location “dynamic and favorable,” which sounds like something you’d write in a high school essay to pad your word count. The big selling point seems to be the nearby I-15 and 78 Corridor. Citracado Parkway is also getting an extension, which Drew says will make the building even more accessible. Like it’s a theme park or something.

And, of course, they threw in a plug about how this spot is close to “multiple airports” and the Ports of Los Angeles and Long Beach. Because when you think “industrial paradise,” you naturally think of proximity to airports and shipping containers. What a dream.