A joint venture between Darryl Shaw and KETTLER has broken ground on Gas Worx, a 50-acre mixed-use development in the historic Ybor City neighborhood of Tampa, Fla.
The new development is set to include more than 500,000 square feet of office space, along approximately 140,000 square feet of retail space and 5,000 residences.
Plans for the development, named after a gas works plant, include restoring the street grid and adding in additional outdoor green spaces. Other community benefits planned for the project are miles of reconstructed sidewalks, new CSX rail crossings and multi-use trails.
Situated between the Ybor Historic District and the Channel District, the project’s tenants are in proximity to dining, entertainment and retail options. Located northeast of downtown Tampa, the Ybor Historic District has historical experiences and attractions centered around its Cuban and cigar manufacturing history. The Channel District features boating docks, the Amalie Arena and the Sparkman Wharf.
In prepared remarks, Bob Kettler, CEO of KETTLER, said that the project is committed to protecting and enhancing Ybor City’s history.
The development’s residential component will also include more than 300 units of affordable housing. An initial phase of 317 apartments is scheduled for delivery in 2024.
As of the end of 2022, Tampa’s office market saw a negative absorption of 252,119 square feet year-over-year, according to a recent Avison Young report. Nevertheless, Tampa’s direct asking rents for office space saw a 3.9 percent increase on the same year-over-year basis, demonstrating the area’s market stability.
Other recent office activity in Tampa includes the sale of the Bridgeport Center, a 180,247-square-foot Class A property. An entity connected to America’s Capital Partners sold the building to a joint venture for $40 million.