VAC Development and IndiCap have broken ground on Chandler Bay, a 110,481-square-foot Class-A industrial development at 1820 E. Germann Road in Chandler, Arizona. Construction commenced in late March 2026 following site close on March 13, with delivery targeted for December 2026. The $25.3 million project marks the second joint venture between the two firms and continues VAC's concentration in the high-barrier, supply-constrained submarkets of metro Phoenix.
The project sits at the northwest corner of Germann Road and Cooper Road, approximately half a mile from the Loop 202 interchange — a location that places tenants within immediate reach of the East Valley's dense employment base. The building will be divided into suites of approximately 9,000 square feet, with three spec office suites ranging from roughly 1,700 to 2,200 square feet. The building will also deliver 28-foot clear heights and 5,000 amps of total power capacity.
Chandler Bay targets a segment of the Southeast Valley market that has been chronically underserved by modern, institutionally finished shallow-bay product. While bulk and big-box industrial inventory has expanded in Phoenix's outer submarkets, small and mid-bay tenants near the Chandler Airpark have had few options for new, functional space at their size. Chandler Bay is designed to fill that gap directly — structured around 50-by-56 and 60-by-56 column spacing, a 120-foot truck court, 12 dock-high doors, and 15 grade-level drive-in doors to accommodate the operational diversity typical of smaller industrial users.
Stevens-Leinweber Construction is serving as general contractor, with Deutsch Architecture Group as project architect and Berkeley Partners providing senior financing. VAC and IndiCap are co-developing the project alongside joint venture partners Mar-Gulf Management Inc. and MDI Capital. Completion is scheduled for the fourth quarter of 2026.