Greek Development closed on a $50 million permanent financing with an unnamed life insurance company for Logan North Industrial Park, the Class A, 3.2 million-square-foot project in Logan Township, according to a Wednesday announcement from the East Brunswick-based real estate developer.
The loan, which replaces existing construction financing by Wells Fargo, allowed Greek to apply long-term debt for the park’s Building A, Building F and Trailer Lot G.
“With increasingly high demand for industrial space in New Jersey, the caliber of sponsorship enables us to continue developing modern campuses like Logan North that provide tenants with best-in-class assets and set entire regions on track for long-term growth,” David Greek, managing partner of Greek Development, said. “Despite recent volatility, lenders recognize the incredible value that these industrial properties offer and the role they play in keeping pace with the continued growth of e-commerce.”
Building A, which is fully leased to Shearer Holdings — a specialized logistics company and partner of SEKO Logistics — totals 164,317 square feet and features 36-foot clear heights, 46 dock-high doors, two drive-in doors and 199 car parking spaces. Building F and Lot G together span 326,937 square feet over 11.36 acres and are fully leased to last-mile delivery company LaserShip. Building F features 40-foot clear heights; 72 dock-high doors; two drive-in doors; 237 car parking spaces and 109 trailer parking spaces; with an additional 264 trailer parking spaces available at Lot G. In addition to the tenants above, Logan North has welcomed Target and Lineage Logistics to the park.
Construction is currently underway on Phase III of Logan North with two buildings, a 274,524-square-foot single-side load building featuring 40-foot clear ceiling heights, 42 dock-high doors, 188 parking spaces and 58 trailer parking spaces, as well as a 475,488-square-foot cross-dock design featuring 40-foot clear ceiling heights, 106 dock-high doors, two drive-in doors, 244 parking spaces and 79 trailer parking spaces. The last phase of the development provides a built-to-suit opportunity of 200,915 square feet.
“Our team is proud and grateful to be partnering with one of the largest life insurance companies on this transaction.” Alex Motiuk, director of acquisitions at Greek Development, said. “Since acquiring the site in 2018, our ongoing success in Logan North’s development has continued to reaffirm our vision for this project. We are confident that it will help meet the demand from top occupiers for truly last-mile, best-in-class warehouse facilities.”
The development is strategically located in southern New Jersey, bordering Route 322 — just north of Interstate 295 — and offers immediate access to both the Philadelphia and New York markets. The facility sits just 14 miles from the Philadelphia International Airport and is less than 20 miles from the recently renovated Port of Philadelphia and the Port of Wilmington, two of the region’s busiest ports.
The refinancing loan was sourced by Senior Managing Directors Michael Klein, Jim Cadranell, Gregory Nalbandian and associate Ryan Carroll of JLL.
“Despite the ongoing turbulence in the capital markets, life insurance companies continue to serve as the best source of long-term funding to best in class warehouse/distribution facilities in last mile locations,” Klein said. “The lender quickly recognized the quality product that Greek develops and provided a very attractive rate and forward funding component that best met the borrower’s needs.”