The ceremonious beginning this Thursday morning will come a little more than two weeks after Kennedy Associates closed on a 55-year, $4-million lease deal with the Port of Portland for the 23 acres near Terminal 6 on which the buildings will be constructed for the marine distribution market. GlobeSt.com reported the deal late last year.
The project is being developed to capitalize on the cargo handling space needs of regional shippers. The Port's land lease agreement provides financial incentives for MEPT if its facilities significantly increase the number of import containers flowing through the port, which currently exports four times what it imports, forcing the port to go shopping for empty containers in other ports.
One incentive has rent deferred for up to a year if MEPT and Trammell Crow can find users that import a certain number of containers. Another incentive gives them a purchase option on the property if they finds tenants that together import at least 4,025 containers for five consecutive years prior to 2011.
Group Mackenzie is architect and engineer for the project. One of the buildings will be 338,125 sf and the other will be 150,000 sf. Construction of the buildings will support upward of 70 high paying building trades jobs during its seven-month construction this year. Once completed and fully leased, it will generate an estimated 300 to 500 permanent, full-time jobs.
Across the street from the project, CB Richard Ellis is marketing another 115 acres of Port-owned land for the same purpose. Port sources say CBRE has been asked to hold out for a use that would take all 115 acres.
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