Originally Posted On: https://www.businessrecord.com/nebraska-couple-with-iowa-ties-opening-elevator-a-co-warehousing-company-in-downtown-des-moines-next-spring/
When Shannon Lerda’s e-commerce business took over her family’s home in Omaha, she began looking for warehouse space where she could store supplies and package goods bought by customers.
Lerda wanted to lease up to 1,000 square feet of space in a building that had a loading dock and a one-year lease.
She quickly learned what she wanted was likely unattainable. Most leases were for a minimum of two to five years; prospective lessees had to show their business was profitable; and most available warehouse space was larger than she wanted, and the few small spaces that were available did not include loading docks.
“Out of frustration one day I said to Emiliano (her husband) that somebody needs to do warehousing like they do coworking,” Lerda said. Prodded by Emiliano for a more detailed description, Shannon described a building with numerous spaces of varying sizes that could be leased by small companies that needed work, storage and/or office space and where packages could be delivered or picked up.
“He looked at me and said, ‘We should do that,’” Lerda said.
In October 2022, Shannon and Emiliano opened Elevator in downtown Omaha’s Old Market district. The four-story building includes 104 spaces that range in size from 80 square feet to 1,500 square feet. All of the spaces are leased, the Lerdas said.
The adaptable spaces are primarily for small-business owners who want flexible, logistics-focused work environments, they said.
About 60% of the businesses are involved with e-commerce, the Lerdas said. Others tenants include artists and nonprofit organizations and businesses in the service industry and retail. One tenant produces dog treats; another makes essential oils, and one recycles electronic components. About 65% of the businesses are owned by minorities or women.
Monthly leases are available, as are leases for six months or longer. Micro spaces lease for $350 a month; larger spaces, up top $2,900 a month.
The building includes a shared conference room and shipping area where packages are delivered and picked up daily. Two Elevator employees are at the building five days a week to accept packages, market spaces in the building and host community workshops on topics of interest to small-business owners.
The Lerdas hope to replicate their success in Des Moines.
In October, the Lerdas acquired a building at 204 12th St. in downtown Des Moines for $2.4 million. The property, which previously had been owned by Nationwide Mutual Insurance, is three stories with nearly 40,000 square feet of space.
“It’s a great fit for us because of its open floor plans,” Shannon Lerda said.
Shannon and Emiliano Lerda said they have met with leaders of Gravitate and Mainframe Studios. Gravitate is an independent coworking organization with locations in downtown Des Moines, Windsor Heights and Jefferson. Mainframe Studios, a nonprofit organization that provides affordable workspaces for artists and others, is located at 900 Keosauqua Way in Des Moines.
“We want to have an open communication with others that are providing similar services, and we’re looking at how we can add to the existing ecosystem,” Emiliano Lerda said. “There’s enough demand for everyone.”
Elevator’s niche is providing spaces that have access to a dock and logistical support for receiving and sending small and large shipments,” Emiliano Lerda said. “You’re not going to find that anywhere else. Our niche is small businesses with physical goods — whether you’re manufacturing those physical goods or whether you’re buying them, labeling, marketing or reselling them. … If you have a significant number of boxes in your life, you should call Elevator.”
Elevator’s Des Moines location will include 85 spaces. During the next six months, remodeling inside the building will occur, with a goal of being ready to open by spring, the Lerdas said.
“We are already getting people calling and asking about the space,” Shannon Lerda said. “We’ve started a wait list.”
About the Lerdas
Shannon and Emiliano Lerda have strong ties to the Des Moines area. Shannon Lerda, who grew up in northeast Iowa and graduated from the University of Northern Iowa, worked at Principal Global Investors in Des Moines for about six years. Emiliano Lerda, originally from Argentina, graduated from UNI and Drake University’s Law School. He worked for the Iowa Corn Growers Association for over year before relocating to Omaha to lead the Immigrant Legal Center. He also has been in leadership roles at Paul G. Smith Associates LLC in Omaha, a development and investment firm.
Naming the company
A friend asked Shannon and Emiliano Lerda what the company the couple planned on launching did for businesses. “We help them grow,” Emiliano answered. “We help them go to the next level; we elevate them.” The conversation occurred during a discussion about what to name the Lerdas’ new co-warehousing and coworking startup. The building the Lerdas had acquired in Omaha was originally home of O’Keefe Elevator, a full-service elevator company that did business in Nebraska and Iowa. “We thought calling the business Elevator would be tied to the roots of our first building, and the word is very symbolic of what we do — give businesses a lift,” Emiliano said.
