Rendering for Arsenal Trade Center, a more than 1 million-square-foot industrial development coming to Sayreville from Trammell Crow Co. and joint venture partner CBRE Investment Management. – TRAMMELL CROW CO.
Central Jersey is getting a new logistics depot, as Trammell Crow Co. and joint venture partner CBRE Investment Management, on behalf of a fund it manages, get to work on a 1.08 million-square-foot industrial development in Sayreville.
Situated on 74 acres at 50 Minisink Road, construction on the three-building Arsenal Trade Center is set to begin this summer with completion anticipated for 2023, Trammel Crow announced June 21, along with the venture’s acquisition of the site.
Arsenal Trade Center’s three buildings will occupy 84,341 square feet, 341,833 square feet and 451,602 square feet, respectively. All rear-loading facilities, the buildings will each offer above standard car and trailer parking, Trammell said, along with 40-foot clear heights, full site circulation, and multiple entry and exit points.
“Arsenal Trade Center represents a unique opportunity to deliver a world-class logistics park in one of the most sought-after markets in the United States. Projects of this scale, design quality and strategic location simply do not come along often,” said Andrew Mele, managing director of TCC’s Northeast Metro office. “We are pleased to partner with CBRE Investment Management on this venture and combine our teams’ deep expertise in industrial development.
“Not only will this project bring in-demand warehouse space to the area, but it will also bring with it many pre- and post-development employment opportunities,” he added.
Mary Lang, head of Americas direct logistics strategies for CBRE Investment Management called Trammell Crow the “ideal partner” to bring the project to fruition efficiently, while also ensuring high quality so as to “both benefit our investors and capture continued user demand in one of the nation’s leading logistics corridors.
“This development represented a unique opportunity to meet a significant need for Class A logistics spaces in the Central and Northern New Jersey market,” she said in a statement.
According to CBRE’s, First Quarter 2022 NJ Industrial Figures report, Q1 marked the 21st consecutive period of occupancy growth, and a good deal of that is from the pre-leasing of new, Class A buildings. The firm’s Investment Management research pegs the availability rate for the submarket at 2.4% — near historic lows for the area — also as of Q1.
CBRE Senior Vice President Ben Shapiro acted as the seller’s — Hercules LLC, an affiliate of Ashland LLC — agent in the marketing and sale of the property. “This was truly a team effort between buyer and seller along with the Borough of Sayreville and the Sayreville Economic and Redevelopment Agency (SERA), its redevelopment agency, to redevelop an underutilized property,” he said. “All involved are looking forward to the transformation of this site.”
Construction financing, the firm said, was provided by QuadReal. Terms were not disclosed. KSS Architects is designing the project — which is seeking LEED Silver designation — with RC Anderson acting as general contractor.
The Arsenal Trade Center site is accessible to 2 million people within a 30-minute drive, New York City is about an hour away, with more than one-third of the U.S. population with a day’s drive.
In January, Trammell Crow announced it would bring the first independent, assisted living and memory care community to Fair Lawn in a joint venture with Chelsea Senior Living. That project is expected to be completed by the end of this year.
