CBRE to Market 900 KSF Long Island Industrial Project
- Feb 10, 2021
Hartz Mountain Industries has named CBRE to market its upcoming LI ECommerce Center on Long Island. The two-building property taking shape in Melville, N.Y., will offer nearly 900,000 square feet of logistics and industrial space.
CBRE’s regional team handling the leasing includes Bill Waxman, Phil Heilpern, Paul Leone and Andre Sigourney.
The adjacent sites at 90 Ruland Road and 235 Pinelawn Road are 1 mile from the Long Island Expressway and 2 miles from Northern State Parkway. JFK Airport is 25 miles southwest.
First to be delivered, the 232,920-square-foot on Ruland Road is slated for occupancy in the first quarter next year. The building will have up to 13,580 square feet of office space. The second, set for completion in the third quarter of 2022, will encompass 569,225 square feet, including a 30,758-square-foot office component. Both structures will have 40-foot clear heights.
New plans, new deals
According to Real Estate NJ, Hartz is also developing a 515,000-square-foot industrial project in Teterboro, N.J., along Route 17. Plans include two adjacent sites totaling 30 acres at 1 and 7 Malcom Ave. next to Teterboro Airport. The company purchased one of the parcels in 2019 in a sale-leaseback deal with Quest Diagnostics, which will move its lab premises to Clifton, N.J., later this year. Hartz picked up the other plot in late 2020 from Prologis.
In addition to developments, some notable industrial deals have already closed this year. In January, Lincoln Equities Group traded a Hicksville, N.Y., warehouse occupied by The Home Depot for $74.5 million. The nearly 200,000-square-foot property had opened in 2020.
The industrial sector had a particularly strong year in 2020, with the growth of e-commerce accelerating absorption of high-quality space, noted CBRE’s Waxman. Last-mile Class A facilities located within densely populated areas continue to be in high demand.
At the end of last year, available industrial space in Long Island fell to 5.2 million square feet, with overall vacancy dropping to a historic low at 4 percent, according to a fourth quarter Cushman & Wakefield Long Island report. New supply is on the way, however: Suffolk County had 1.2 million square feet under construction, and another 235,234 square feet was underway in Nassau County.