CRG Announces $57M Sale of Build-to-Suit for Shaw Industries Group in Savannah
Tuesday, May 15th, 2018
CRG announced the sale of its 1 million square foot build-to-suit facility in Savannah, Georgia for Shaw Industries Group, Inc., a Berkshire Hathaway Company to Griffin Capital Company, LLC for $57 million.
The new facility will allow Shaw to expand its distribution and warehouse capacity in the area. The new cross dock facility sits on 70-acres and will provide access to Shaw's current operations adjacent to the site.
"We are seeing unprecedented industrial demand in the Savannah industrial market," CRG Southeast Partner Mike Demperio said. "In working with our capital market experts, it became evident to us that the deepening of the Port, the reopening of the Panama Canal, the larger Panamax ships combined with what we perceived as demand for space were the ingredients that would make us successful."
Clayco was the design-builder on the project and its subsidiary BatesForum was the architect. The building was completed in April 2018.
Esmael Hill of The Net Lease Group represented the seller in the transaction. NLG also arranged equity to finance the construction of the facility, which CRG originally developed on a speculative basis.
Also, in the Southeast region, CRG developed an 832,000 square feet building for Shaw Industries adjacent from the site referenced above. Additionally, CRG has the following projects under development in the region:
The Cubes at Inland 85
A 324-acre site in Spartanburg County, South Carolina. Building 1 is a 500,000-square foot speculative warehouse building.
The Cubes at Locust Grove
A 1,000,993-square foot speculative building available for lease in the I-75 corridor of Atlanta, Georgia.
The Cubes at Bridgeport
A 560-acre industrial mega site with 8.5 million square feet of potential warehouse space located in the southwest I-85 corridor of Atlanta, Georgia. Currently, another 1,002,150-square foot building is now under construction.
E-commerce is driving business at CRG, along with an evolution in the technology and quality of buildings. As the industry begins to measure cubic feet and maximize racking space, CRG's "The Cubes" industrial brand is part of its leadership effort to meet this tremendous demand in the speculative warehouse market. In addition to The Cubes, CRG plans to build a minimum of 10,000,000 square feet on an annual basis worth about $650 million of its Class A industrial product per year.