Trinity Capital JV Secures Tenant at Raleigh Industrial Park

September 17, 2026

Brokerage Development Industrial News More Raleigh-Durham Southeast

A building materials distributor will occupy a build-to-suit facility within the campus.

A joint venture between Trinity Capital Advisors and Mortenson Properties Inc. has signed a leasing agreement at Falls Lake Industrial Park, a 1 million-square-foot master-planned development in Butner, N.C. Palmer Donavin, a building materials distributor, is the first tenant at the industrial project. JLL represented the landlord, while Newmark negotiated on behalf of the tenant.

Aerial image of construction underway at Falls Lake Industrial Park, an industrail development in Butner, N.C. — Palmer Donavin’s facility will rise on a rear-left parcel, while Buildings 2 and 3 at the campus are already underway. *Image courtesy of Trinity Capital Advisors.*

Palmer Donavin will occupy a new 225,000-square-foot build-to-suit property at the park, currently underway. It is expected to come online by mid-2027.

Falls Lake Industrial Park is a Class A industrial campus taking shape across 157 acres in two phases. Mortenson serves as general contractor.

The campus is taking shape between 100 and 500 Tradecrest Road, on a site right off the Interstate 85 Service Road, providing access to regional industrial corridors as well as the Research Triangle employment and logistics hub. Downtown Durham, N.C., is 15 miles away.

All facilities will include ample parking spaces for both cars and trailers, as well as modern specifications and functional dimensions designed to accommodate industrial, manufacturing and logistics uses.

From site acquisition to building construction

The companies acquired the site in January 2026, marking Mortenson’s first investment in the Raleigh-Durham metro and the Carolinas. Construction on the first phase commenced in early 2026, with completion planned by the end of the year.

Phase One will comprise Building 2, a 102,060-square-foot structure at 200 Turnrow Road, along with the 262,080-square-foot Building 3 at 300 Tradecrest Road. The upcoming second phase will feature three facilities totaling 733,040 square feet, expected to come online in April 2028.

JLL Senior Vice President Justin Booth, together with Vice President Austin Jackson and Executive Managing Director Al Williams represented the ownership. The team is leading leasing efforts for the entire development.

Newmark Senior Managing Director Doug Brock and Managing Director Eric Shea worked on behalf of Palmer Donavin.

Raleigh-Durham industrial growth remains on track

The Raleigh-Durham industrial sector continued to witness elevated construction pace and an overall positive momentum in the second quarter of 2026, according to a report by CBRE. The metro recorded 1.3 million square feet of positive net absorption, while vacancy fell to 8.9 percent—down 50 basis points quarter-over-quarter. However, the rate grew on a year-over-year basis, reflecting the steady pace of new deliveries.

Developers completed 917,000 square feet of space during the first six months of 2026 in Raleigh-Durham. Meanwhile, 5.5 million square feet were underway across 41 projects. The pipeline declined 1.4 percent from the first quarter, but increased 20.3 percent year-over-year, pointing to sustained development activity and in line with broader industrial market trends.

A recent addition is RDU Business Park, a 150-acre light industrial project in Morrisville, N.C. Merritt Properties started construction in late August, with plans calling for 13 buildings totaling roughly 800,000 square feet.

During that same month, Genentech reached a milestone on its $2 billion manufacturing facility in Holly Springs, N.C. The company topped out the 700,000-square-foot project—its first project along the East Coast.