AMB Lures in Tenants as Canadian Leasing Market Sees Activity
- Mar 19, 2009
The gloomy economy has not prevented AMB Property Corp. from luring in tenants, despite widespread downsizing among companies. On Wednesday, the firm announced it has leased approximately 250,000 square feet of space at its AMB Millcreek Distribution Centre in Toronto to a leading global transportation services and logistics management company. This lease, in conjunction with the previously announced 225,000-square-foot lease to Hershey Canada Inc., brings the project to full occupancy.”This new lease at AMB Millcreek Distribution Centre is our fifth lease with this customer in North America and speaks to the quality of our portfolio and the strength of our operations in this important market,” said Gene Reilly, AMB’s president, the Americas.The Greater Toronto Area has seen some leasing activity as of late. As of Dec. 31, 2008, AMB’s portfolio in the area totals more than 4.3 million square feet of operating and development facilities.Late last year, CPN reported AMB Property leased more than 590,000 square feet of industrial space to a wholly-owned subsidiary of a Fortune 100 company, stabilizing its more than 1.1 million-square-foot development in the Greater Toronto Area West submarket. Also in 2008, the firm leased more than 532,000 square feet of the development to Vitran Logistics, a wholly-owned subsidiary of Vitran Corp. Inc. The property is located within close proximity to the Trans-Canada Highway, major intermodal rail yards and the airport. The company seems very successful in drawing in customers to its international industrial properties. In December, CPN reported that AMB has leased approximately 222,000 square feet of its 437,000-square-foot Brussels development, AMB Boom Distribution Center. Additionally, the firm has pre-leased 319,000 square feet of port development projects in the Seine River corridor, which connects Paris to the English Channel and serves as the main gateway for imports into France. AMB leased 137,000 square feet to Schenker France, an AMB target customer and part of the Transportation and Logistics Division of Deutsche Bahn AG, and 73,000 square feet to Necotrans, a French maritime forwarder, at AMB Port of Rouen Distribution Center, which is adjacent to the Port of Rouen’s main container terminal. AMB also leased 109,000 square feet of AMB Le Havre Logistics Park 1 to DIDACTIC, a pharmaceutical company. And despite the struggling economy, the firm has leased more than 157,000 square feet of a development immediately adjacent to Madrid’s Barajas International Airport.