GRAND PRAIRIE, TX-Domino’s Pizza has renewed its industriallease at Heller Industrial Park here, inking a three-year deal for100,469 square feet.

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The national pizza delivery company uses its space in the200,000-square-foot building at 900 W. Freeway for its pizza doughproduction facility. The building has been built-out to food gradestandards and is certified by the American Institute of BakingInternational. It also boasts a significant amount of cold andfreezer space.

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Domino’s has been a tenant in the 1980s-era property for 15years, according to Frederick Kurtz, vice president and projectmanager of Heller Industrial Parks Inc. The Edison, N.J.-basedcompany owns 1.5 million square feet of industrial space in theMetroplex including the building in which Domino’s is a tenant.

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Kurtz represented Heller in lease negotiations. Jean Russo ofCushman & Wakefield of Texas Inc.’s Dallas office representedDomino’s.

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Although Domino’s had a lot of options in the Grand Prairiesubmarket, Heller was eager to keep Domino’s in the building, Kurtzsays. Just last year, the pie maker expanded its presence in thebuilding by 40,000 square feet.

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“We knew Domino’s didn’t want to move because they have a lot ofequipment in the building, but there are a lot of vacant buildingsavailable,” Kurtz tells GlobeSt.com. “On one hand, it would havetaken a lot of money to duplicate the facility somewhere else. Onthe other side of the coin, landlords were giving away a lot of TIand free rent, and that could go a long way to recreating it.”

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Kurtz adds: “Once we started looking at all the free rent themarket was giving away, we had to think hard about where we wantedto price the space. Heller is known for the lowest lease rates inany given market, but a lot of other owners have dropped theirrates during this recession.”

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Now that Domino’s and Heller have agreed on terms for thethree-year renewal, the two organizations continue to negotiatewith the goal of working out a deal for seven to 10 years, Kurtzsays.

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