Construction of a large industrial park project on Mt. Lehman Road in Abbotsford has begun.

QuadReal and Hungerford Properties announced the launch of Xchange Business Park after receiving regulatory approval on the first two buildings. The 140-acre project is slated to include 11 buildings and 1.3 million square feet of industrial space. It is located at 3407, 3459, 3481 and 3583 Mt. Lehman Rd.

“What will be available at Xchange is ideal for a wide range of uses,” said Hungerford Properties partner Michael Hungerford. “We’re excited to begin construction on much-needed industrial space that will begin serving tenants in early 2024, particularly given the scarcity of developable industrial land across the region.”

The proposal is one of the largest industrial developments in recent years and consumes the last large chunk of developable industrial land in west Abbotsford north of Highway 1. The block of land encompasses one-sixth of all the land approved for exclusion by the Agricultural Land Commission in 2005.

The park is preserving more than 40 acres of green space and will include an amenity building that honours the nearby Matsqui First Nation people. The facilities are designed to alleviate strains to the supply chain through features such as dock loading, high ceilings and immediate access to Highway 1.

“We’ve all heard of the challenges posed by a lack of industrial space close to metropolitan centres,” said Jeff Rank, senior vice-president of leasing for QuadReal Property Group. “The demand in Metro Vancouver is largely driven by e-commerce and logistics requirements. And for almost a decade, demand has outstripped supply, so Xchange is filling a very definite need in the local supply chain.”

The first two buildings are expected to be ready for tenants in early 2024.