SOURCE: Roll Real Estate Development
LOS ANGELES, CA and SHAFTER, CA--(Marketwired - Mar 27, 2014) - Roll Real Estate Development LLC, the commercial real estate development division of Roll Global, has signed a 1 million-square-foot lease with American Tire Distributors, Inc. at its Paramount Logistics Park located at 5000 Capital Rd, Shafter, Calif., 93263. American Tire joins esteemed companies such as Target, Formica, The Hillman Group, Baker Hughes and Ross Dress for Less, which recently closed a 160-acre land acquisition for the development of a 1.7-million-square-foot distribution center.
The new industrial building that will be built for American Tire will be situated on more than 45 acres and will include 234 trailer stalls and 201 loading docks. Nearly 10,000 square feet of the building will be reserved for office space. The building will also feature 32-foot clear height and include an ESFR fire sprinkler system to accommodate tire storage.
Since 2007, American Tire has occupied a 176,500-square-foot industrial building at Paramount Logistics Park, located in the City of Shafter, Calif. near Bakersfield's Meadows Field Airport. In May 2013, the company entered into a build-to-suit lease transaction with Roll Real Estate Development for a 350,000-square-foot building within the park. Due to rapidly growing consumer demand in the Western United States, American Tire and Roll recently restructured the lease, tripling the required building size to more than one million square feet.
"American Tire's expansion in the Central Valley will significantly improve its capability to distribute to tire retailers quickly and more efficiently," said Jason Gremillion, Vice President of Development at Roll Real Estate. "Being located at the Paramount Logistics Park provides strategic access to customers throughout the western states, and they can utilize Kern County's young and motivated workforce to bolster growth in the company and community."
Paramount Logistics Park's central location gives companies access to a robust transportation infrastructure. Paramount Logistics Park is minutes from Hwy-99, I-5 and Hwy-58, allowing access to 14 percent of the U.S. population within 300 miles, and offers convenient dual port access to the Port of Los Angeles and Port of Long Beach, as well as Port of Oakland. It is also nearby to FedEx and UPS ground hubs in Bakersfield, Calif and Meadows Field Airport is seven miles away. The project also features an onsite rail yard with more than 9,000 feet of track able to accommodate unit trains with direct access to Burlington Northern Santa Fe (BNSF) Railway's mainline.
"American Tire Distributors decision to dramatically expand operations at Paramount Logistics Park is yet another indication of the advantages of the partner approach that we have with our customers. We were able to restructure and close this transaction to meet their growing business needs within a matter of weeks," said John Balestra, President of Roll Real Estate Development. "With in place entitlements for up to 26 million square feet of additional development with the City of Shafter, we provide speed and certainty of execution. Our mutual success depends on timely decisions and the ability to execute quickly. In the case with American Tire, these capabilities really shined."
"We are thrilled to have a long-standing company that can enjoy the economic and logistic benefits of being located in Shafter," said Scott Hurlbert, the newly appointed City Manager for the City of Shafter. "Our city has a vision to be the best environment for growing businesses and thriving families. We look forward to the expansion of our city and economy as Paramount Logistics Park continues to develop."
Both parties represented themselves in the transaction.
In March 2013, Ross Dress for Less broke ground on its new 1.7-million-square-foot distribution center at Paramount Logistics Park, which will create more than 1,500 new jobs in the area. The facility is expected to be completed in the third quarter of 2014.
About American Tire Distributors: American Tire Distributors is one of the largest independent suppliers of tires to the replacement tire market serving approximately 70,000 customers across the U.S. and Canada. Its 800-vehicle fleet travels 40 million miles annually to deliver tires, wheels and automotive supplies to retailers across the country. The company offers an unsurpassed breadth and depth of inventory, frequent delivery and value-added services to tire and automotive service customers. American Tire Distributors employs approximately 3,500 employees across its distribution center network, including approximately 200 employees in Canada. For more information, visit www.atd-us.com.
About Paramount Logistics Park: Paramount Logistics Park is a 1,625-acre, master-planned industrial development that offers shovel-ready, fully entitled parcels of land that range from five to 300 acres. Lots are available for build-to-suit facilities, with sale or lease options, from 100,000 square feet to more than 2.8 million square feet. It boasts a high-speed fiber optics network and features BNSF rail-served sites available for up to 2.3 million square feet. For more information, visit www.rollrealestate.com.
About Roll Real Estate Development: Roll Real Estate Development is a division of Roll Global, a $3 billion privately owned consumer goods company and largest owner of agricultural land in California. The company owns, manages and is actively developing three business and industrial parks in the Central Valley totaling more than 1,800 acres: Paramount Logistics Park, North Meadows Business Park and CrossRoads Business Park. Leveraging more than 30 years of experience in commercial real estate, Roll Global also owns and manages a separate portfolio of office, industrial and residential properties throughout the United States. For more information, visit www.rollrealestate.com.