Commercial real estate veteran Josh Budish aims to capitalize on growing demand for industrial space in the Twin Cities with the launch of Endeavor Development, which develops, invests in and manages Class A industrial real estate.
Construction is to begin this spring on three suburban infill projects that Minneapolis-based Endeavor already has lined up in what Budish said represented "a tremendous springboard for the company."
The projects, with more than 265,000 square feet of warehouse space combined, are the Pilot Knob Business Center in Mendota Heights, Highview 610 Business Center in Brooklyn Park and Yankee Doodle Business Center in Eagan.
Budish, who has nearly two decades of commercial real estate experience, launched Endeavor Development in January. Endeavor has four employees and Budish said hiring will continue as the company grows.
Budish previously was vice president of leasing and development for the Minneapolis-St. Paul market for Duke Realty Corp., a publicly traded developer of industrial property in 20 markets nationally.
Investor interest is propelling demand for industrial development in the Twin Cities in particular, Budish said. That interest was strong before COVID-19 hit and has increased as investors shift from retail and office projects that have taken a hit in the pandemic.
Budish said he would like Endeavor to develop industrial projects across the metro, specifically mentioning the southwest and Midway areas, and undeveloped sites in expanding areas such as Lakeville in the south metro, Dayton in the northwest and Woodbury to the east.
Q: Why did you launch Endeavor Development?
A: This is something I've always wanted to do. The timing felt perfect for me personally and professionally. Personally I was ready to become a principal of my own company. I've put in the work needed to do so. Professionally I had accomplished what I had set out to accomplish as market leader for Duke. And I saw the industrial real estate market here locally and beyond poised for growth and for opportunity.
Q: What's driving the growth in industrial real estate?
A: COVID caused a brief pause in industrial demand here but it quickly began growing again. The three reasons are: While e-commerce was growing exponentially before COVID, COVID has only caused it to accelerate further. Secondly, we're seeing more of our customers wanting to increase inventory levels and have those be on shore here or local in particular. Finally, we are starting to see some expansion in manufacturing within the industrial sector for a couple of reasons: Companies desire to have manufacturing on shore and more near their customers and some of the government incentives in place to bring jobs back the U.S.
Q: What's differentiates Endeavor from competitors?
A: Our tagline is "Institutional Experience. Entrepreneurial Spirit." That summarizes what makes us different. I have nearly 20 years of development, leasing and oversight experience in this market in this product type. But now with Endeavor I can take that experience and bring ultimate entrepreneurial spirit to it, which means being flexible, being creative, being nimble, being able to partner with others. We can partner with property owners. We can partner with occupiers. There are no limits on project sizes, so nothing is too big or too small. I think that makes us unique and we are seeing the results of that. And I've got 20 years of deep-rooted knowledge and relationships in this market.
Todd Nelson is a freelance writer in Lake Elmo. His e-mail is todd_nelson@mac.com.
