Construction is underway in Sylmar on a nine-acre, $11-million business park, one of the largest commercial real estate developments in the Valley this year.
Valley Gateway Business Park at 15648 Roxford St. is expected to be completed before the end of the year, said Steve Roth, executive vice president of World Oil Co. of South Gate, the developer.
Roth said the 168,000-square-foot development will be similar to some high-quality business parks in Irvine, "with a campus-type atmosphere." Construction began last month.
Although World Oil owns industrial parks throughout California, Roth said the Sylmar project is the first to be built on speculation, based on a continued strong economy in the Valley.
"We are very confident there is a significant need and demand for this type of high-image industrial commercial space," he said.
Industrial properties in the Valley have about a 95% occupancy rate and the demand is high, said Chris Sullivan of DAUM Commercial Real Estate Services, which represents World Oil.
"Strong job growth and a robust economy during the past five years have greatly reduced the number of available properties and increased demand for complexes like this," Sullivan said.