George J. Pofok, CCIM, SIOR and Joseph V. Barna, SIOR of CRESCO Real Estate, in conjunction with Timothy Luli of PSF Management Company, represented Automated Packaging Systems, Inc. in the acquisition of 600 Mondial Parkway in Streetsboro, Ohio. This transaction will be submitted for the NAIOP Industrial Transaction of the Year 2011.

Approach

• Conducted a national site search to locate a new manufacturing facility to help increase capacity and create redundant services in case another Automated Packaging plant should be affected by a shut down. The ideal facility was between 75 – 125,000 SF and required rail service, heavy power and an area with 60′ ceiling heights.
• Reached out to brokers throughout Cushman & Wakefield, the SIOR network and economic development representatives at the state level to identify potential opportunities.
• Narrowed the initial list of opportunities and conducted multiple site visits to tour the property, the community and meet with various economic development officials.
• Negotiated incentive packages in order to compare each opportunity on an “apples to apples” basis.
• Completed a financial model to analyze the total cost of occupancy including building acquisition and renovations, utility cost, transportation charges and financial incentives.
• Monitored other opportunities as they became available during the process. The subject property was not on the original list provided to Automated Packaging.

Results

• Identified and collected information on forty-four (44) sites in twenty-one states.
• Initial list narrowed to six (6) sites in five (5) states. The first tour covered a three day period and was conducted with the project manager to visit the site, the community and economic development officials and further refine the list.
• The list was further narrowed to three (3) sites in the three (3) states. During the process, CRESCO continued negotiating with the various cities, counties and states on the incentive package, and further refining all the associated building costs. After review of the financial analysis the search was narrowed to one and a second tour involving senior management occurred.
• While continuing to monitor the market for available properties, a new opportunity surfaced and was factored into the previously completed financial analysis. Upon review of the new financial model, Automated Packaging elected to pursue the new building.
• Automated Packaging Systems, Inc. purchased 600 Mondial Parkway in Streetsboro, Ohio for $5,225,762 in February, 2011. This manufacturing/warehouse facility totals 173,315 SF on 32.08 acres and was built in 1995.