AUSTIN, TEXAS — The Jenkins Organization, a Houston-based developer and operator of self-storage properties, will build a 728-unit facility in the Oak Hill neighborhood of Austin. The company recently closed on the land for the 123,000-square-foot facility and expects to complete the project by September of this year. The facility will offer both climate- and non-climate-controlled units, as well as covered loading zones, gated security entry and electronic security monitoring throughout.
The strength of the New Jersey industrial market continues to evidence itself through consistent demand, rising rental rates and record low vacancy rates across the region. Much of the recent success has been the result of e-commerce growth and expansion among distribution and light manufacturing businesses looking to tap into the market’s port, air cargo, and major transportation networks. While developers have been working to bring new inventory to the market, the new space is being absorbed quickly, leaving tenants with limited options for space. The New Jersey industrial market has seen significant demand for the past 20 quarters and a steady, often rapid, rate of absorption. The market saw 13.6 million square feet of absorption in 2018, according to research from Avison Young. The epitome of this market expansion trend and the most obvious to investors is the activity along the New Jersey Turnpike, from Exit 8A where the market was at a staggering 1 percent vacancy rate at the end of 2018 up to the Exit 10 Edison Market, where rents may soon reach $9 per square foot net. Notable Deals A little farther north into the Carteret /Avenel and Linden/Elizabeth markets much of the activity is focused …
OCALA, FLA. — Gladstone Commercial Corp. has acquired a two-building, 383,000-square-foot industrial portfolio in Ocala for $19.1 million. The two buildings are fully leased to Signature Brands LLC with a 20-year lease term. Gladstone acquired the buildings in a sale-leaseback transaction with Signature Brands, a food manufacturer and distributor focusing on confectionary products like sugar, sprinkles and icings. The first building, a 207,000-square-foot facility located at 1900 SW 38th Ave., was built in 2001 and expanded in 2010 and primarily serves as Signature Brands’ popcorn manufacturing and distribution center. Signature Brands has invested more than $15 million in the facility. The other building is located at 808 SW 12th St., spans 176,000 square feet and is used for the manufacturing of decorative baking products.
SHELBYVILLE, IND. — Greenleaf Foods SPC has selected Shelbyville as the location for a new plant-based protein foods production facility. The company says it will invest $310 million in the new plant and create as many as 460 jobs by the end of 2022. The 230,000-square-foot facility will double Greenleaf’s production capacity. Greenleaf has not yet selected a general contractor for the build-to-suit project. Incentives from the city and Shelby County totaled $2.5 million. The state offered up to $5 million in conditional tax credits and as much as $1 million in training grants based on job creation plans. The state also offered up to $1.25 million from the Industrial Development Grant Fund. Greenleaf makes foods under the Lightlife Foods and Field Roast Grain Meat Co. brands. The company is a wholly owned subsidiary of Toronto-based Maple Leaf Foods Inc. Established in 2018, Greenleaf is headquartered in Chicago and currently operates facilities in Seattle and Turner Falls, Mass.
BOLINGBROOK, ILL. — Old World Industries has signed a 354,400-square-foot industrial lease to fully occupy Crossroads Parkway 605 in Bolingbrook. Duke Realty owns the building, which is located at 605 West Crossroads Parkway. Old World Industries is an automotive and chemical company. Britt Casey of Cushman & Wakefield represented the tenant in the lease transaction. Jeff Fischer and John Whitehead of NAI Hiffman represented Duke.
PLYMOUTH, IND. — Marcus & Millichap has brokered the sale of Discount Storage in Plymouth for $3.4 million. The 373-unit, 45,400-square-foot self-storage property is located at 16220 Lincoln Highway. Constructed in 2016, the facility features 272 non-climate-controlled units, 88 climate-controlled units, surveillance cameras and outside parking. Sean Delaney of Marcus & Millichap represented the buyer and seller. Josh Caruana assisted on the transaction as the broker of record in Indiana.
The combined forces of population growth, increased online shopping and demand for last-mile fulfillment centers are driving development of and investment in industrial assets in major markets. Natural population growth translates to more aggregate demand and consumption of goods and services. The rise of e-commerce has guaranteed that a growing percentage of those products will be ordered online and delivered to end users within a few days, hence the need for more fulfillment and distribution facilities near major population centers. The metropolitan statistical areas (MSAs) of Dallas-Fort Worth (DFW) and Houston are home to a combined 13 million or so people and counting. Both MSAs have seen major upticks in industrial development over the last several years while also posting record absorption numbers. And despite some vast differences between the industries and users driving demand in DFW and Houston, both markets reflect how sweeping changes in consumer behavior have elevated the fundamentals of their industrial real estate inventories. Regardless how different their economies are, demand for space in both markets should remain robust in 2019. By The Numbers According to CoStar Group, DFW posted positive net absorption of approximately 20 million square feet in 2018, a year in which inventory …
HOUSTON — NAI Partners has arranged the sale of a 50,000-square-foot heavy manufacturing facility situated on 7.4 acres at 810 McHard Road in Houston. Clay Pritchett and Zane Carman of NAI Partners represented the seller, a locally based partnership, and procured the buyer, Texas Yards LLC, in the transaction.
FREMONT, CALIF. — JLL Income Property Trust has acquired Fremont Distribution Center, a two-building industrial portfolio in the Oakland/East Bay submarket of Fremont. An undisclosed seller sold the asset for $47 million. At the time of sale, the 240,000-square-foot property was fully leased.
CHICAGO — Farpoint Development, Clayco and CRG have launched Decennial Group, a national Opportunity Zones (OZ) real estate and energy investment and development fund based in Chicago. The joint venture is targeting investment of $1 billion in development projects and is designed to leverage the OZ tax incentives created through the 2017 tax reform legislation. A formal fundraising campaign will be announced soon. The OZ marketplace is generating interest around the country for its potential to positively transform economically distressed communities. Decennial Group derived its name from its 10-year approach to investment and development, which positions neighborhoods for transformative, long-term and inclusive growth. The platform focuses on commercial, industrial, multifamily and energy projects located in OZs throughout America’s heartland. A differentiator from other OZ funds is Decennial’s renewable energy strategy, led by David Pavlik of 11 Million Acres, which has structured over $2 billion in renewable energy and infrastructure projects. Decennial includes Scott Goodman of Farpoint, Bob Clark of Clayco and Shawn Clark of CRG, Clayco’s real estate development and investment company. Steve Glickman of Develop LLC will serve as senior advisor to the management team. Decennial’s team also includes Dan Gilman, a private equity veteran who heads investments for …