Alstom's broker, Todd Severson of Colliers International, tells GlobeSt.com that the lease commences in September and that the company will relocate from a much smaller space at the Port of Oakland. He declined to discuss the negotiated deal terms; the triple-net asking rate for the space was in the $0.40s per square feet per month.
While not for everyone due to its age and style, Alstom liked the building because it has a craneway and they can bring rail into the building. Alstom Transportation will be required to maintain rail lines leading from its Mare Island base at the former shipyard east across the Mare Island Causeway and then north for several miles, parallel to Broadway to the Flosden area, he says.
The owner of the building is Lennar/Mare Island. Lennar is attempting to transform the former naval shipyard into a mixed-use community. Lenar and Alstom will invest $1 million in upgrades to Building 599, Severson says. The listing broker, Greg Smyth of CBRE, was not available for comment.
Until March 2008, four Mare Island companies were serviced with rail deliveries. Lennar Mare Island then discontinued the rail line it had managed since 2002, citing low usage and $11 million in needed track upgrades.
Building 599 was built in 1942, initially as a military metal storehouse and gun shop. It later stored ships being overhauled and, more recently, was used by Kinkisharyo International to manufacture Santa Clara Valley Transit Authority light rail cars, making it a good fit for Alstom, which employs 80,000 people worldwide.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.