A commercial real estate firm formed earlier this year is catering to companies that seek to own a small office building, as it develops a new professional office park in the heart of one of Greater Des Moines’ fastest-growing commercial real estate submarkets.

Groundbreaking began Oct. 9 for Windsor Office Park, a new Class A office park in Johnston developed by Stewart & Weeks Commercial Real Estate Services. Paul Weeks and Bob Stewart, who founded the business in January, said their company’s debut office park project is unique in that it does not follow the trend of oversized office parks that appeal only to large businesses.

“We’re offering small lots for people who want to own their own small office building,” Weeks said. “Unless you want to rent, it’s difficult to find small lots in the prime suburban areas that are for sale.”

Zoned for office and support retail, Windsor Office Park consists of 40 acres, subdivided into 20 lots consisting of one to two acres for the construction of professional office buildings, banks and restaurants. Weeks said the area will not include fast-food restaurants or gas stations. Prices for lots in Windsor Office Park range from $264,500 for the smallest property of 1.01 acres to $1.6 million for the development’s first lot of 2.67 acres.

McAninch Corp. currently is grading the site. Construction is scheduled to begin in the spring of 2003, and company officials project the park will be developed in three to five years.

Weeks said the timing for developing the office park is good because low interest rates make it favorable for businesses to invest in their own building.

“With interest rates being low, we’re seeing more interest from businesses who seek ownership versus renting,” Weeks said. “There’s plenty of buildings for rent out there, but little opportunity to find smaller, well-located lots for sale.”

An integral part of the park will be the construction of Windsor Parkway, which will connect Northwest 86th Street and 100th Street, Weeks said. The park’s location, one-half mile north of Interstates 80 and 35, makes it an attractive location.

Weeks said the opening of the 86th Street interchange on I-35/80 has caused an “explosion of development” along the 86th Street corridor between Meredith Drive in Urbandale and Northwest 62nd Avenue in Johnston. He credits the city of Johnston for providing developers incentives to build in the area.

“The city of Johnston attracts office parks to help lower the tax base,” Weeks said. “The city offered us TIF (tax increment financing) funding, which helped offset the cost of the street and help our developing costs considerably.”

The office park is located just south of John Deere Credit Services, Iowa Bankers Association headquarters and the Crescent Chase Shopping Center. To the west on Windsor Parkway, as far west as 100th Street and near the future site of Johnston’s middle school, Weeks said plans are under way for Regency Homes to construct 250 single-family and townhome dwellings.

“There is lot of activity that will enhance the area,” he said.