Koll Development Plans Phoenix Project

Koll Development Co. of Newport Beach said Monday it has acquired 38 acres in Phoenix where the company plans to build a speculative industrial project for $23 million.

The commercial real estate firm will develop 600,000 square feet within Papago Industrial Park. A total of eight buildings will be constructed for distribution, manufacturing and light industrial uses on the site, which the company recently bought for $3.3 million.

The Phoenix market has become a significant expansion area for Koll, which is developing 1.5 million square feet in new commercial projects there. The first phase of the Papago Industrial project--four buildings totaling 361,000 square feet--is expected to be completed by September 1999, Koll said.