CHICAGO—CenterPoint Properties has decided to focus its attention on industrial properties connected to intermodal or port facilities, and that has led it sell off some buildings that don't meet that criteria. The Oak Brook, IL-based firm, one of the most significant players in the national market, just sold a 21-building portfolio in the Chicago area, for example, and company officials tell GlobeSt.com that there could still be other similar sales.
The portfolio consists of buildings without intermodal capabilities, and totaling about 2.4 million square feet on 110 acres of land. Robin Stolberg and Kurt Sarbaugh of HFF represented CenterPoint in the transaction. The company did not disclose the property addresses or prices paid. CenterPoint sold off a Milwaukee-area portfolio in 2015.
In recent years logistics has become a more important and lucrative aspect of the US industrial market, and CenterPoint has determined the “drayage/cost advantages will increase over time” for port and intermodal properties, says Jim Clewlow, chief investment officer at CenterPoint.
He adds that the company will continue strengthening its national portfolio by focusing on “major US port markets like LA, NJ, Miami, Seattle and Oakland. This disposition was an opportunity for CenterPoint to capitalize on our investment strategy.”
But as one of the nation's transportation hubs, Chicago will still play a big role in CenterPoint's operations. Of the 59 million square feet in its portfolio, about 39% is still in the Greater Chicago market, including massive intermodal facilities in the I-80 submarket.
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Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
