Amazon to Develop 600K Square Foot Distribution Center Near Sacramento

Amazon has recently finalized the purchase of 84 acres in Rancho Cordova for a new distribution center. This property, situated within the Rio Del Oro master plan on the city's east side, will feature more than 600,000 square feet of warehouse space. The site is located at the future intersection of Rancho Cordova Parkway and International Drive.

Development Plans and Timeline

A spokesperson for Amazon confirmed the project is moving forward, with construction slated to begin in a few months. The spokesperson expressed enthusiasm for the project, indicating it has been a long-term part of Amazon's operational plans.

Financial Details and Seller Information

Amazon purchased the undeveloped land for $23.603 million from Alta Vista LLC, associated with Elliott Homes, the master developer for Rio Del Oro. Elliott Homes has not commented on the sale.

Historical Context and Project Details

The Rancho Cordova City Council previously reviewed this project, initially known as Project Sunrise, proposed by Panattoni Development Co. Inc. on behalf of Amazon. The original plan included a 629,186-square-foot building with extensive dock and office space. The project also featured substantial parking facilities, with 702 trailer stalls and 1,008 car stalls.

Approval and Zoning

The City Council approved the project in March 2022. The land is zoned for industrial use, and there is a pending building permit for the project, which is estimated to cost over $62.1 million, bringing the total development cost to at least $85 million.

Industry Impact and Developer Insights

Tim Schaedler, a partner at Panattoni, mentioned in a recent panel discussion that their upcoming project would be the most expensive warehouse ever built in the region. Although he did not explicitly confirm the project as Amazon's, Panattoni has no other projects nearing construction that would justify such a high cost.

Amazon's new distribution center in Rancho Cordova marks a significant investment in the region, expected to drive economic growth and enhance the company's operational capabilities. As construction begins, more details about the project's scope and impact are anticipated.