Ti Cold Development Teams Up With BentallGreenOak
- Apr 26, 2021
Ti Cold Development has secured a new source of capital to finance its growing cold storage portfolio. The company has partnered with BentallGreenOak, which has committed to providing capital to fund Ti Cold’s developments in the U.S. and Canada.
Ti Cold has already identified key markets in its U.S. and Canada footprint that will draw on the capital from the partnership. The first two projects that will utilize BentallGreenOak’s funds are currently underway and are expected to complete in 2022.
Ti Cold’s 318,060-square-foot cold storage project in Phoenix will be the first development to utilize BentallGreenOak’s capital. The facility will be built with 177 million cubic feet of storage space, 40,000 pallet positions, 50-foot clear heights, a 60-foot deep refrigerated dock, 40-foot deep refrigerated rear rail dock, and -20 to 60 degrees Fahrenheit fully convertible storage space. The building will be located in Copperwing Logistics Center, which allows for access to BNSF Railway, and to the area’s three major roads, Loops 101, 303 and Northern Parkway.
In Reno, Nev., Ti Cold’s 254,330-square-foot project will be the second to use the incoming capital. The cold storage property will be built with 40,000 pallet positions, a 41,000-square-foot refrigerated dock and -10 to 60 degrees Fahrenheit fully convertible storage space. The Reno project is located near Interstate 80, Highway 439 and the Pacific Union Rail Line, allowing it to serve 80 percent of the California market within a day’s truck drive, according to Ti Cold.
Hot demand for cold storage
Sam Tippmann, principal at Ti Cold, said in prepared remarks that the company’s relationship with BentallGreenOak began in 2017 with the development of a cold storage facility in Seattle. Tippmann added that the partnership will combine Ti Cold’s cold storage development experience and BentallGreenOak’s capital to continue its strategy to build more cold storage facilities in underserved markets in North America.
In December, a similar partnership was created between Provender Partners and Cerberus Capital Management that aimed to assemble a multibillion-dollar portfolio of cold storage facilities in the U.S. Like Ti Cold and BentallGreenOak, the joint venture between Provender and Cerberus was looking to capitalize on the growing demand for cold storage space.