ProLogis, the big developer and owner of industrial real estate, confirmed last week that Kuehne + Nagel has leased 208,000 square feet in a new industrial building at Tahoe Reno Industrial Center.
Keuhne + Nagel, which provides third-party logistics services, is the first tenant in the 601,750-square-foot building, which was built as a speculative project and completed in mid-2007.
The logistics firm said it will operate on behalf of multiple clients in the space.
It moved some operations from about 153,000 square feet on Longley Lane in Reno and also is expanding its work in northern Nevada.
Maurice Sporting Goods, a sporting goods wholesaler, is moving into the space vacated by Kuehne + Nagel on Longley Lane.
The lease at Tahoe Reno Industrial Center is important because it gets the ball rolling on a building that has been without tenants, said a recent analysis by the industrial group of Grubb & Ellis|NCG in Reno.
Grubb & Ellis also noted that the decision by Kuehne + Nagel reflects the company's belief that it can recruit workers to the industrial center about 10 miles east of Sparks and its belief that the center is not too far from the services of the metropolitan area.
"Trust that K +N, a longtime staple of the Reno/Sparks industrial market, made the decision to occupy more space in the Tahoe Reno Industrial Center with their eyes wide open," the Grubb & Ellis analysis said.
The 601,750-square-foot project is the only building owned by ProLogis at Tahoe Reno Industrial Center. It's the biggest industrial landlord in northern Nevada, with 106 facilities and 16.4 million square feet
owned, managed or under development.
