Tag Archives: warehouse

Brand-new warehouse north of Reno to bring 350 tasks

Wednesday, Sept. 19, 2018|12:48 p.m.

RENO– A sports garments wholesaler has actually announced plans for a big distribution center north of Reno that will bring 350 tasks to the location.

Reno Mayor Hillary Scheive revealed Tuesday S&S Activewear plans to open the 800,000-square-foot building in the North Valleys in early 2019.

The Reno Gazette Journal reports it will be the biggest occupant of a pre-built facility in the history of Nevada.

S&S Activewear President Jim Shannon states the relocation was motivated by the company’s desire to broaden its one- and two-day shipping capabilities along the West Coast. He states Reno is among the greatest per-capita industrial markets in the country.

He says they anticipate to pay employees in the variety of $12 to $15 per hour.

Historic Atlanta Cotton Warehouse to Flower Again

Carter-Led Ownership Group Secures Financial Obligation, Equity and Bond Financing to Redevelop The Metropolitan in West End

Pictured: The Metropolitan.Plans to redevelop a century-old previous cotton warehouse developed by Coca-Cola co-founder Asa Candler in Atlanta’s West

End, are forming. The brand-new owner, headed by longtime Atlanta developer Carter, simply received a bond inducement of $90 million from the Advancement Authority of Fulton County. Carter secured equity funding from Silver Point Capital, a registered investment consultant (RIA) based in Greenwich, CT, and debt from LoanCore Capital, an asset management company focused on business property credit, also based in Greenwich.

Carter currently is dealing with its redevelopment plans and branding effort for the task, which it has actually named The Metropolitan. The strategies will consist of a residential component and will adhere to the city of Atlanta’s affordable real estate regulation.

The Met becomes the 2nd significant redevelopment Carter is supervising in the city. The Midtown-based firm also is working with Georgia State University to re-create the long-dormant enterprise zone surrounding the previous Turner Field, which the Atlanta Braves left in October 2016.

The redevelopment of The Met is the current in a string of new advancements planned for Atlanta’s West End community. Mixed-use developers have found the forgotten location as brand-new citizens move into the older houses that are more budget-friendly for millennial buyers.

At its Lee+White Food and Beverage District, Stream Realty is converting an old storage facility structure to restaurant area. Less than a mile away, Zayo Holdings Group, a Colorado data center business, will open its second zColo colocation operation at 1150 White St. this month.

Carter, which acquired the seven-building complex at 675 Metropolitan Parkway for $57.5 million on May 31, plans to enable existing renters to operate while rearranging the advancement near the West End MARTA station. The Met currently has more than 500 renters in 175 distinct areas, Carter Senior Vice President David Nelson told the Advancement Authority of Fulton County (DAFC) at its May conference.

Throughout the meeting, the DAFC board unanimously approved a letter of temptation for $90 million in taxable income bonds to assist finance Carter’s redevelopment strategies.

At The Met, Carter plans to capitalize on the rising appetite for innovative office space. Loft-style, open-air office in former storage facilities and new-built properties represent less than 5 percent of Atlanta stock.

Carter initially will establish 100,000 square feet of creative and flex office at The Met, Carter President and Ceo Scott Taylor told CoStar News. It then will include another 100,000 square feet over the next several years.

Candler constructed the cotton storage facility job in 1914 as World War I began in Europe so having a hard time U.S. cotton farmers might keep their surplus till the cotton markets rebounded. Understood for co-founding Coca-Cola, Candler developed what was then Atlanta’s tallest tower, the 17-story Candler Structure at 127 Peachtree St., in 1906. He served as Atlanta mayor from 1916-1919.

Southeastern Industries Inc. later on got Candler’s warehouse complex and landed a variety of large companies as occupants including General Electric, Genuine Components, Buick Motors, Firestone Tires, Goodrich and The Atlanta Journal, according to a history of the project on The Met’s website.

The storage facility district ultimately would empty as financial slumps and a movement of industrial uses away from city centers took their toll. However the home was reborn as a sanctuary for artists and craftsmen, and now is 90 percent leased.

Carter’s acquisition positions the historic home for future success, said Lance Patterson, president of Patterson Property Advisory Group. Patterson organized the financial obligation and equity financing for Carter and stated interest in investing it in The Met was extreme.

“With its massive scale and extraordinary variety of uses and renters, the property is very special and get the most-positive response from equity capital that our company has ever experienced on a single offer,” Patterson stated.

Blackstone REIT Expands '' Last-Mile ' Warehouse Holdings with $1.8 Billion Portfolio Purchase

22 Million-SF Canyon Industrial Portfolio Consists Of Amazon, DHL, FedEx and Coca-Cola Amongst 377 Tenants

Blackstone Realty Earnings Trust, Inc. (BREIT) revealed it has successfully closed on a $1.8 million transaction to obtain a 22 million-square-foot portfolio consisting of 146 infill storage facility and circulation properties throughout the country.

Referred to as the Canyon Industrial Portfolio, the properties were offered by a set of funds sponsored by Boston-based Cabot Properties: Cabot Industrial Worth Fund IV, L.P. and Cabot Industrial Worth Fund IV Manager, LP. Blackstone had previously put the portfolio under contract in late December.

The gotten properties includes 146 “last-mile” structures, with the biggest concentration in Chicago at 4 million square feet accounting for 18% of the portfolio’s aggregate base rent; followed by Dallas (3.22 million SF, 12%), Baltimore and Washington D.C. (1.86 million SF, 12%), Los Angeles and Inland Empire, CA (1.12 million SF, 7%), South-Central Florida (1.12 million SF, 7%) and Denver (1.07 million SF, 6%).

The portfolio’s 377 occupants consist of Amazon, Federal Express, DHL, Coca-Cola, Fiat Chrysler and the U.S. federal government, according to a securities filing.

BREIT noted that the industrial job rates throughout the portfolio’s markets has actually continued to decline over the previous seven years and is presently just 4.6%, while rents have actually increased 5.7% year-over-year.

“The ongoing market lease development in the portfolio’s markets resulted in leas on brand-new leases surpassing leas on expiring leases by 9% in the portfolio during the third quarter of 2017,” Blackstone stated, adding that the portfolio has some leasing upside as it’s presently 90% inhabited.

“BREIT’s portfolio, with its emphasis on steady, income-producing warehouse and apartment or condo assets, is well placed to take advantage of continued tailwinds in these sectors,” stated A.J. Agarwal, Blackstone REIT president and head of U.S. core-plus real estate for the private-equity giant.

The Blackstone-sponsored non-traded REIT buys supported U.S. industrial realty homes, including multifamily, industrial, retail and hotel possessions.

BREIT’s portfolio now amounts to $7 billion over 272 properties, consisting of 33 million square feet of commercial area and 17,200 multifamily houses, with some select-service hotels and grocery-anchored shopping centers.

Blackstone has re-entered the U.S. commercial market in a huge way considering that last year, when it acquired a 38-property portfolio totaling 4.4 million square feet in Southern California from Principle Realty Investors for about $500 million.

In January, the private-equity business consented to buy Canada-based Pure Industrial Real Estate Trust, which owns and operates industrial residential or commercial properties throughout The United States and Canada, in an all-cash offer valued at about $2 billion.

Apple CEO goes to Reno for groundbreaking of warehouse

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Andy Barron/ The Reno Gazette-Journal via AP

Apple CEO Tim Cook shakes Nevada Gov. Brian Sandoval’s hand after his speech throughout an event commemorating a brand-new Apple warehouse on Wednesday, Jan. 17, 2018, in Reno.

Released Wednesday, Jan. 17, 2018|11:52 a.m.

Updated Wednesday, Jan. 17, 2018|5:35 p.m.

RENO– Apple CEO Tim Cook joined Nevada Gov. Brian Sandoval and Reno Mayor Hillary Schieve at a groundbreaking event for a new $4 million warehouse in downtown Reno Wednesday as the business announced plans to invest $350 billion in the United States economy over the next 5 years.

Sandoval, Schieve and others praised the relocation and Apple’s earlier dedication to double the size of its existing $1 billion information center east of Reno as essential turning points in Nevada’s economic healing from being among the states hardest struck by the recession 7 years back.

“We are delighted to be part of transforming downtown Reno to the dynamic city it should be,'” Cook said at the ceremony for the shipping and getting center a couple of blocks east of the downtown gambling establishment district. “‘Our dedication to Reno and northern Nevada is agent of the commitments we’ve made throughout the U.S.”

Cook said the company’s five-year U.S. plan will produce 20,000 new Apple tasks and include more than $10 billion for tasks like the Apple information center in Washoe County along U.S. Interstate 80 east of Reno and Triggers.

Apple announced plans for the downtown warehouse last May at the exact same time it announced prepare for a $1 billion expansion of that data center, which will include 100 permanent employees, doubling its workforce. About 300 short-lived building tasks likewise will be created, the business stated.

The 5-year-old $1 billion information center lies in the Reno Technology Center along U.S. Interstate 80. It’s between Reno and the Tahoe Reno Industrial Center where Tesla’s huge battery factory is based about 15 miles east of Reno-Sparks. The storage facility will be utilized to deliver equipment to the expanding facility.

Apple was granted $89 million in state residential or commercial property and sales tax abatements when it devoted to the data center in 2012. Developing a center in downtown Reno was necessary for it to fully understand all the potential tax breaks.

Sandoval stated earlier that the data center was the first significant financial advancement success in northern Nevada and “assisted position this region on the technology and innovation map.”

Because that time, Nevada has included nearly 250,000 tasks statewide, the guv said Wednesday.

Sandoval stated he informed Cook– whose look was kept secret up until about 90 minutes before the event– that “it’s like someone coming from Mount Olympus to Reno for a day.”

Steve Hill, director of the Guv’s Office of Economic Advancement, said Nevada’s economy was “truly the worst in the U.S.” seven years back, when it led the country in joblessness, foreclosures and insolvencies. It now ranks among the fastest growing states in regards to both job development and wages.

“Apple’s decision in 2012 to buy Nevada, to find their data center here really marked the turning point and was the driver for moving this area and frankly the entire state forward,” Hill said.

Prologis Closes $820 Million Purchase of Retail/Warehouse Portfolio

San Francisco-Based Industrial Owner and Designer to Flip Retail Assets to Blackstone For $374 Million

Prologis, Inc. (NYSE: PLD) has actually completed the acquisition of a 5.4 million-square-foot profile of mainly Northern New Jersey commercial properties and retail structures in the Tri-State New york city and Florida markets, with the San Francisco industrial REIT revealing that the 2.2 million square feet in gotten retail possessions will be offered to affiliates of Blackstone Property Advisors for about $374 million, consisting of assumption of debt.

This profile obtained from Morris Realty Associates LLC for about $820 million consists of 8 commercial assets totaling 3.2 million square feet of industrial operating and development properties situated primarily in Northern New Jersey, according to CoStar info. The retail assets to be offered to Blackstone include a range of freestanding, single-tenant, restaurant and multitenant shopping mall in New Jersey, Pennsylvania and Florida.

The Oct. 9 closing comes numerous months after the original sale conclusion date estimated by San Francisco-based Prologis for late April at the time the deal was revealed deal was revealed in early February.

The largest of the retail buildings is Larkins Corner, a 225,379-square-foot community shopping center in Boothwyn, PA. The largest industrial property is 1051 Amboy Ave., a 614,500-square-foot storage facility building built in 2008 in Perth Amboy, NJ.

The Blackstone deal is anticipated to close prior to completion of the year, subject to loan provider authorizations and traditional closing conditions.

“Prologis’ acquisition of high-quality industrial structures in the higher New york city area matches its current profile in among the largest and most supply-constrained logistics hubs in the United States,” the business stated in a release.

The deal included the issuance of $385 countless collaboration units in the Prologis operating collaboration, including 32,655 common limited collaboration devices and 8,894,478 typical restricted collaboration systems, priced at $43.11 per system, plus the presumption of financial obligation.

Morris Real estate Associates is an affiliate of The Morris Cos., founded in 1971 by Joseph D. Morris. The Morris Cos. has developed over 30 million square feet of industrial warehouse centers in the Northeast.

Please see CoStar COMPs # 3407397 for more information on the transaction.

Prologis Pushes Rents, Strategies to Sell More Home In Red-Hot Warehouse and Logistics Market

“This Year is Forming Up to be One of the Strongest in My 35 Years in the Business”– Hamid Moghadam

Market conditions don’t get better than this for storage facility and light-industrial owners. Perhaps more than any other property type, industrial homeowner have benefitted this year from the strongest lease development, tightest occupancies and largest yearly gain in financial investment sales.

The midyear earnings report provided today by global warehouse realty leader Prologis Inc. (NYSE: PLD), highlights how strong operating principles in commercial real estate in the U.S. and globally are yielding solid returns for property managers and investors.

Prologis this week reported second-quarter net profits of 27 cents per share, more than double the very same duration in 2014, on profits of $510.4 million, virtually 11 % greater than a year back.

“This year is shaping up to be one of the strongest in my 35 years in business,” said Hamid Moghadam, chairman and CEO of the Denver-based REIT.Pushing Leas

Pads Profits

Prologis, like other property owners throughout practically all sectors of the business property market, is profiting from strong rent development as renters absorb area much faster than the rate of new supply getting in the marketplace. According to CoStar information, the vacancy rate for U.S. logistics area fell 66 basis points to 8.2 % at the end of the 2nd quarter from the exact same period a year back.

The year-over-year rent development of 5.1 % for logistics homes and 5.7 % for light-industrial assets leads all the significant commercial home types, according to CoStar Portfolio Technique.

Prologis sees considerable future incomes potential from taking advanatage of the present gap in between the business’s in-place and market rents as leases end.

“This strong rental recuperation has been specifically pronounced in the U.S., where the boosts are ending up being apparent in our lease rolls and monetary outcomes,” Moghadam said.

In additional to pushing rents in its distribution centers, PLD’s 2nd vital concern is developing more huge box warehouses from its land bank, which can support a projected pipeline of more than $10 billion of new tasks, enough to keep builders hectic for four years at the present rate, Moghadam said.

“New supply in the united state remains to be absorbed at a fast speed, driving vacancy to 15-year lows,” he said, including that ther REIT’s forecast calls for decreasing U.S. job rates through completion of 2016 till brand-new supply catches up with demand in 2017.

“We expect rental rates to grow in the primary markets till development has a chance to overtake need,” stated John Guinee, REIT expert at Stifel, Nicolaus & & Co. Inc. “At that point, we would anticipate supply will likely overshoot demand and would result in damaging principles in 2016.”

Time Corrects to Offer Non-Strategic Assets

With investment sales volume of industrial properties increasing 41 % to about $40 billion in the very first half of 2015, according to CoStar information– also the biggest rate of increase among industrial home types– Prologis said offering some of its home will be a concern in the 2nd half of the year. The REIT said it plans to use sale proceeds to pay financing expenses related to its $5.9 billion acquisition with joint endeavor partner Norges Bank Financial investment Management earlier this year of KTR Capital Partners, according to Prologis CFO Tom Olinger.

The acquisition includes 60 million square feet, together with 3.6 million square feet of advancement projects and a land bank with a build-out capacity of 6.7 million square feet, to the Prologis profile. Prologis has $1.3 billion of short-term funding associated with the deal consisting of the $1 billion term loan due in 2017, with the rest on PLD’s credit center.

In regards to profile square footage, Prologis has altered the most considerably amongst the major publicly traded industrial REITs given that the very first half of 2014. With the inclusion of its 55 % interest in the KTR Capital portfolio, PLD’s U.S. industrial portfolio alone is now virtually 300 million square feet, according to Guinee at Stifel, Nicolaus.