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Petco starts warehouse

While manufacturing has been in the spotlight in the weeks following Tesla’s decision to build its gigafactory east of Sparks, the region’s mainstay distribution sector got a big boost from Petco last week.

The San Diego company’s public announcement that it’s building a 770,000-square-foot distribution center at Stead is just the latest of a series of big warehouse projects in the region.

Petco says the distribution center is expected to be complete in May.

The facility will employ as many as 150.

Alston Construction — the company previously known as Panattoni Construction — is building the facility for Panattoni Development.

AEW Capital Management L.P., a global real estate investment provider, is developing the facility on behalf of one its institutional clients.

The project is expected to meet the criteria for LEED Silver certification from the U.S. Green Building Council.

Petco looked at several locations before settling on Reno, said Mark Hilborn, its senior vice president of supply chain. The company worked closely with the Economic Development Authority of Western Nevada.

The location near U.S. 395 and Red Rock Road will serve Petco stores in the West and also will act as a fulfillment center for Web orders placed through Petco.com.

The Petco project is one of several major distribution projects under construction in the area. Lake Washington Partners of Seattle is wrapping up a 606,000-square-foot facility in Spanish Springs for SanMar, zulily is nearing completion of a 707,000-square-foot facility at Tahoe Reno Industrial Center and Dermody Properties is building a 624,000-square-foot project in Golden Valley that will be home to Amazon.com, which is moving from Fernley.

More big projects are just over the horizon, industrial-space brokers have said in recent weeks.

Mike Kazmierski, EDAWN’s chief executive officer, said the Petco project also involved the work of Cushman and Wakefield of Massachusetts, Reno Property Management, Lewis Roca Rothgerber and the Echeverria family.

NNBW staff