CHELSEA, MI-The Chelsea Teddy Bear Co. has inked a 30,000-sf lease in an area of the Chelsea Warehouse Building that is under reconstruction. The company signed a 10-year deal for the space, which will house manufacturing, retail and other administrative operations of the business.

Matt Mason, national leasing director for Ann Arbor-based McKinley Inc., which owns the building, tells GlobeSt.com that the Chelsea Teddy Bear Co. was looking for a new location to expand its business and combine its operations under one roof. "It won't be the sole tenant in the building but it will be by far the largest," Mason says.

The company was started about 10 years ago and is currently located in the Chelsea Clock Tower. The company has not yet completed the relocation to the new space. Visitors will be allowed to continue visiting the clock tower site until the move is complete.

Mason says the Chelsea Teddy Bear Co. will be a good fit for the Warehouse Building because the business attracts visitors from surrounding areas and the new space will feature both manufacturing and retail functions. Much of the space surrounding the Warehouse Building facility contains retail businesses.

"Most warehouse space is just used for warehouse functions," Mason tells GlobeSt.com. "Having a pseudo retail space in that location creates good synergy with the surrounding properties."