Merritt Properties Breaks Ground on 126,500-SF Third Phase at Imeson Landing Business Park in Jacksonville

Merritt Properties has broken ground on the third and final phase of Imeson Landing Business Park in north Jacksonville, adding three shallow-bay light industrial buildings totaling 126,500 square feet and bringing the park to 392,700 square feet across eight buildings. The company simultaneously announced it is advancing the second phase of redevelopment at its Merritt at Gate Parkway property elsewhere in Jacksonville.

Construction on the new phase began in September 2026 at approximately 1350 Zoo Parkway, across from the park's five existing buildings at 1250 Imeson Park Boulevard. ARCO/Design Build is serving as general contractor, a role the firm has held since Merritt broke ground on the first phase in March 2022. Completion is anticipated in the second quarter of 2027.

Three Buildings and a New Incubator Format

The third phase comprises Building 600 at 39,600 square feet, Building 700 at 42,900 square feet, and Building 800 at 44,000 square feet. All three buildings will offer 16- and 18-foot clear heights and 90- to 100-foot truck courts, consistent with the shallow-bay light industrial format Merritt has used throughout the park.

The phase also introduces a new product type for Imeson Landing: small-bay incubator suites of 1,650 square feet each. Each move-in-ready suite is designed to include two offices, a bathroom, a climate-controlled warehouse and an at-grade drive-in door, targeting smaller and emerging businesses that may be too small for conventional warehouse offerings.

"Completing Imeson Landing is an exciting milestone for our team, particularly because this was Merritt's first ground-up development in Jacksonville," said Pat Franklin of Merritt Properties' Jacksonville office. "Since entering the market, we've seen strong demand for well-located, flexible light industrial space that can accommodate businesses at different stages of growth. This phase builds on what has worked well at Imeson while introducing smaller incubator spaces that allow us to serve an even broader range of companies."

Ross Crabtree and Luke Pope of JLL are assisting with leasing efforts at Imeson Landing alongside Merritt's Jacksonville team.

Park History and Leasing Performance

Merritt Properties entered the Jacksonville market in 2021 and began construction at Imeson Landing in March 2022. The second phase followed in July 2023 and was completed in March 2024. The park was recognized by NAIOP Northeast Florida as its 2023 New Construction Project of the Year.

The five existing buildings, totaling 266,200 square feet, reached full occupancy, with the park accommodating 24 tenants in suites ranging from approximately 3,000 to 30,000 square feet. Tenant categories have included light manufacturers, government contractors, port-related businesses and distribution companies. The third phase represents a 47.5% expansion of the existing park's footprint.

"Breaking ground on these three buildings represents the culmination of several years of planning, development and construction at Imeson Landing," said Gary Swatko of Merritt Properties' Florida office. "Our team has worked closely with ARCO/Design Build throughout each phase to deliver high-quality, functional buildings that meet the needs of Jacksonville's growing business community and position the park for long-term success."

The park is positioned at Zoo Parkway and Imeson Park Boulevard in Duval County, with direct access to Interstates 95 and 295. Across the completed phases, buildings feature 18- to 20-foot clear heights, rear-loaded docks and configurations designed to support a range of business operations.

Jacksonville Industrial Market Context

Merritt is breaking ground during a period of elevated vacancy but sharply reduced new construction activity in Jacksonville's industrial market. First-quarter 2026 industrial vacancy stood at 11.3%, up 390 basis points year over year, while net absorption was negative 317,000 square feet. Average asking rents increased 0.9% year over year during the same period.

Active construction volume fell to approximately 901,000 square feet in the first quarter of 2026, down 83.1% from 5.3 million square feet a year earlier, with the number of projects under construction dropping to three from 22. The pullback in new supply follows a period in which Jacksonville absorbed more than 5 million square feet annually on average over the prior three years, while vacancy rose by approximately 750 basis points over that span.

Merritt's shallow-bay, flexible industrial format and smaller tenant focus differentiates Imeson Landing from the large-format speculative warehouse projects that drove much of the recent supply wave. The remaining active construction in the first quarter of 2026 was concentrated in the North Jacksonville submarket, where Imeson Landing is located, benefiting from proximity to I-95, I-295 and Jacksonville's port and logistics infrastructure.

Gate Parkway Redevelopment Also Advances

In addition to the Imeson Landing groundbreaking, Merritt Properties is moving forward with the second phase of redevelopment at Merritt at Gate Parkway, a five-building property at 5022 Gate Parkway in Jacksonville. The company is converting Buildings 100 and 200 from vacant, single-story office space into multi-tenant light industrial buildings.

Merritt acquired the Gate Parkway property in August 2024 for $19.6 million, or approximately $98 per square foot based on the property's approximately 200,000-square-foot size. The property was approximately 60% occupied at acquisition. The City of Jacksonville subsequently approved rezoning to a Planned Unit Development, allowing for uses associated with IL, IBP, CCG-1 and CCG-2 zoning classifications.

The first phase of the Gate Parkway redevelopment, spanning three buildings, is now fully leased to multiple tenants, including a full-building lease with Star Catcher.

"The response to the first phase at Gate Parkway has reinforced our confidence in our redevelopment strategy," Franklin said. "Converting Buildings 100 and 200 will allow us to accommodate a wider range of light industrial users while continuing the transformation of the property."

About Merritt Properties

Established in 1967, Merritt Properties is a privately held commercial real estate company with a portfolio of more than 21 million square feet of office, flex, warehouse, industrial, retail and build-to-suit properties across Maryland, North Carolina, Florida and Virginia.