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Newmark Grubb Knight Frank (NGKF) announced today it has successfully represented Saddle Creek Logistics in its relocation to a 1,114,575-square-foot build-to-suit distribution facility at CenterPoint Intermodal Center (CIC) in Joliet, Illinois. The new state-of-the-art facility, which will be leased by Saddle Creek, will be situated on approximately 60 acres. The transaction is the largest industrial transaction and build-to-suit year-to-date in the Midwest region of the U.S.
“This mega-deal represents the largest industrial transaction in Chicago in the past year, and is the second largest industrial transaction in the U.S. so far in 2015,” commented Geoffrey Kasselman, SIOR, LEED AP, executive managing director and head of NGKF’s national industrial practice. “In fact, the deal is not only representative of a robust market, but also of Chicago’s strategic importance as a regional and national hub for the distribution and logistics industry.” The Saddle Creek deal is second in size year-to-date in the U.S. only to a 1,129,750-square-foot lease in Fairburn, GA, which was completed earlier this year.
Founded in 1966, Saddle Creek Logistics is a third-party logistics company providing warehousing, transportation, packaging and fulfillment services. The firm has 41 locations nationwide. Needing a larger and more efficient floorplan for its Illinois distribution facility, Saddle Creek selected NGKF to assist with finding the firm a more flexible space. NGKF’s Senior Managing Director Jack Cozzie represented Saddle Creek in the transaction along with Senior Vice President Ladson Montgomery of Newmark Grubb Phoenix Realty Group.
Cozzie and Montgomery assisted in Saddle Creek’s site selection analysis, ultimately securing space at CIC based on its location, proximity to the interstate highway network and available square footage. Saddle Creek will relocate to CIC from a 590,000-square-foot facility at 21051 W. Walter Strawn Drive in Elwood, Illinois, nearly doubling their space. Saddle Creek plans to relocate to the CIC facility in Joliet by February, 2016.
“We are pleased to have assisted Saddle Creek in this significant expansion to accommodate the firm’s growth within the Chicago market,” said NGKF’s Cozzie. “The CIC build-to-suit offers Saddle Creek a state-of-the-art facility that meets their current space requirements and is ideally located for distribution, making it a perfect fit for our client.”
“We have known Jack and Ladson of NGKF for many years and it was a pleasure to work with them on our relocation and expansion,” said Doug Blatchford, executive of Saddle Creek Logistics. “Not only do they have a broad understanding of the market, but they understand our business requirements and goals. They helped us to create an opportunity that provides for our current operations as well as future expansion at CIC, and they did so in a way that maximizes the value of our real estate assets.”
The CIC in Joliet offers direct access to the Union Pacific Joliet Intermodal Terminal and the BNSF Logistics Park Chicago. Saddle Creek’s facility will feature 32’ clear ceilings, 132 dock doors, four drive-in doors, ample parking, 328 trailer stalls as well as 15,000 square feet of office space. Construction of the $43 million project will create approximately 250 jobs, with 200 permanent workers to be based in the warehouse. NAI Hiffman Executive Vice Presidents Dan Leahy and Adam Roth represented CenterPoint in the transaction.
About Newmark Grubb Knight Frank
Newmark Grubb Knight Frank is one of the world’s leading commercial real estate advisory firms. Together with London-based partner Knight Frank and independently-owned offices, NGKF’s 12,000 professionals operate from more than 330 offices in established and emerging property markets on six continents.
With roots dating back to 1929, NGKF’s strong foundation makes it one of the most trusted names in commercial real estate. NGKF’s full-service platform comprises BGC’s real estate services segment, offering commercial real estate tenants, landlords, investors and developers a wide range of services including leasing; capital markets services, including investment sales, debt placement, appraisal, and valuation services; commercial mortgage brokerage services; as well as corporate advisory services, consulting, project and development management, and property and corporate facilities management services. For further information, visit www.ngkf.com.
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