Hanson Building 350,000-SF for Cold Storage

HOBART, IN-Hanson Logistics is paying for the construction of a 135,000-sf cold storage facility here that will be expanded to about 350,000 sf in future phases. The temperature-controlled logistics provider is based in St. Joseph, MI, and has seven facilities in Michigan and Indiana.

Hanson recently closed on the building's land, which is in Becknell Development's 164-acre NorthWind Crossings. The new facility, to be called the Chicago Consolidation Center, is right off Interstate 65. It will be above ground, and have 40-foot high ceilings, and should be completed by early September.

Cindy Bischof, director of brokerage services with Darwin Realty, joined with principal Richard Daly in representing Hanson in the transaction. She says she cannot divulge the cost of the development. A 517,887-sf industrial cold storage facility in University Park, IL sold for $63.3 million in January, and is occupied by Continental Refrigerated Services.

"There's not a lot of cold storage build-to-suits out there," Bischof tells GlobeSt.com. "Hanson looked at 20 sites in both Illinois and Indiana for the property. The economic incentives offered by Indiana made the difference," Bischof says.

She would not comment on the details of the incentive offered, but says the company is also getting a favorable electricity rate. "You need cheap power for that much refrigeration," Bischof says. Christopher Gary, a broker with Darwin, represented Becknell in the transaction.