Port approves lease for $130 million logistics center at PDX to boost job creation and economic growth
The Port of Portland recently approved a ground lease for PDX West Logistics LLC – a project entity formed by Capstone Partners – to transform a long vacant site on NE 33rd adjacent to Portland International Airport (PDX) into a bustling, $130 million logistics and distribution hub. It is projected to create over 500 permanent, quality jobs.
The 950,000-square foot commercial logistics hub addresses the regional shortage of large, development-ready space, while generating a future $4.4 million in state and local taxes annually.
"We’re focused on bringing in projects that sustain a strong future for PDX and deliver real economic benefits to the region," said Port of Portland Chief Aviation Officer Dan Pippenger. “This logistics and distribution hub will give businesses the large, development-ready space they need to grow and succeed, while also creating hundreds of good-paying local jobs for working families.”
The project is also slated to create significant transportation and safety benefits for the community, including a new traffic signal at Northeast 33rd Ave and Marine Drive, within a high-crash corridor. There will also be the addition of a wide, multiuse path along the busy stretch of Marine Drive. This will create greater separation for walkers and cyclists who currently must use the road’s shoulder while trekking the popular 40-Mile Loop.
"Capstone Partners is excited to continue its twenty-plus year industrial development relationship with the Port of Portland," said Chris Nelson, Capstone Principal. "The PDX West Logistics Center’s location adjacent to PDX, and proximity to I-5 and I-205, is strategic for logistics providers seeking to serve both the Portland Metro area and greater Pacific NW."
In addition to the projected 500 permanent positions to be created by the new PDX West Logistics Center, more than 500 construction workers will be needed to bring the project to life. The construction spending is expected to add more than $8 million in state and local taxes over the course of the nearly three-year project.
Groundbreaking for the PDX West Logistics Center is expected in summer 2027.
