Developers see green in turning golf courses into warehouses

Industrial space race prompts conversions, but some object

A photo illustration of the Broadmoor Golf Course in Oregon (Broadmoor, iStock)
A photo illustration of the Broadmoor Golf Course in Oregon (Broadmoor, iStock)

It’s a hole-in-one for warehouse developers.

Builders have been turning golf courses into warehouse locations as the industrial space boom continues, according to Bloomberg Businessweek.

In May, for example, Onondaga County in New York announced that Amazon would build a $350 million distribution center over 111 acres of land formerly occupied by the Liverpool Public Golf and Country Club. The facility will exceed 3.8 million square feet.

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Similarly, the United Parcel Service plans to build a million-square-foot warehouse and distribution center in Philadelphia on what used to be a golf course. And Prologis will construct a 345,000-square-foot industrial building on the Broadmoor Golf Course in Portland, Oregon.

“With golf you’re just limited to the income of the ongoing business concern,” Keith Cubba, national director of Colliers’ Golf Course Advisory Services, told Bloomberg Businessweek. “There’s going to be a much higher yield on 200 acres of residential or commercial.”

Still, some issues arise with such conversions. Golf courses are often zoned as commercial, recreational or open space. Additionally, locals can object to the idea of a warehouse replacing a serene golf course.

[Bloomberg Businessweek] — Sasha Jones