240,000-SF Spec Industrial Gets Under Way

BORDENTOWN, NJ-KOR Cos. has started construction for two speculative industrial buildings of 120,000 sf each at its Central Crossings Business Park, a master-planned 170-acre warehouse/distribution campus here. Both buildings are slated for delivery by the end of this year.

The work starts as occupancy of the Wall-based KOR's initial spec building in the park has passed the 50% occupancy mark. Blue Tulip, which preleased 47,800 sf, Garden State Portable Storage (19,000 sf) and Frank Wood Transportation (9,500 sf) have signed on at that initial 142,000-sf facility.

"The start of spec development at Central Crossings in 2005 solidified the Exit 7 market as an active extension of the south-central New Jersey distribution hub," says KOR founder and CEO Harry Kantor. "Today, the property is serving as home to three credit tenants and construction of the new buildings is progressing."

Exclusive leasing agents for the property are Cushman & Wakefield of NJ, and GVA Williams Buschman of Hamilton, with Jules Nissim, Stan Danzig and Noah Balanoff of the former and Steve Tolcash of the latter handling the assignment.

"With all the buzz in the market for big-box properties, here we have a campus that is designed to accommodate both large and small tenants, and demand is strong," Nissim says. "In fact, KOR initially planned to develop a 240,000-sf building on the site now under construction, but because of all the activity on the first building the company is instead incorporating two smaller, more divisible structures. And we continue to see significant interest from users out in the market."

The new buildings are what Kantor terms a "hybrid" design aimed at satisfying diverse, flexible build-outs combining warehouse, manufacturing and office space. They are divisible to 9,500 sf, include 28-foot clear ceilings and have large truck turnarounds.

Central Crossings Business Park, which KOR laid the groundwork for in 2003 and began actual construction in 2005, has a total development potential of 2.3 million sf. The initial phase consists of four parcels, including the completed building and the two just under construction. KOR has completed site work for one additional building pad, and Rockefeller Group Development and IDI acquired the fourth parcel, approved for a million sf. KOR also has approvals in place for the project's Phase II, which will include two more buildings of 504,000 sf and 136,000 sf.