RACER Trust, NorthPoint Development Agree to Terms for Sale of Industrial Land in Lordstown, OH
Kansas City Firm Expected to Develop Industrial Park on 173.5 Acres; Second Transaction Between RACER and NorthPoint
LORDSTOWN, OH (11/10/2014)(readMedia)-- RACER Trust today announced it has reached an agreement with NorthPoint Development for the purchase and development of 173.5 acres of vacant industrial property in Lordstown, OH.
NorthPoint, an emerging national leader in industrial and commercial development, is expected to develop the property into an industrial park with a combination of industrial, warehouse and light manufacturing uses.
The project will likely cover 1.5 million square feet and employ up to 1,500 people when complete, NorthPoint President and COO Chad Meyer said.
The property, located at 1829 Hallock Young Road, is adjacent to the General Motors Lordstown Assembly Plant, making it an ideal location for automotive supply and logistics companies.
Lordstown is the second RACER property acquisition for NorthPoint, which began construction on Central Industrial Park in Kansas City, KS, last December. That project, being built on 80 formerly vacant acres next to the GM Fairfax Assembly plant, is expected to result in 2,000 new jobs.
"We're very excited to reach agreement on another sale with NorthPoint that will result in increased redevelopment and job creation for the Lordstown community," said Elliott P. Laws, administrative trustee of RACER Trust. "NorthPoint, along with the Village of Lordstown, has proved to be true partners in RACER's mission, and we look forward to the jobs and other benefits this project should create for the area."
NorthPoint also has plans to develop manufacturing and logistics space for automotive suppliers in Tennessee and Indiana. Additional projects are in the pipeline. The company owns about 8 million square feet of industrial space.
"We experienced the benefits of working with RACER during our evaluation and eventual purchase of the Kansas City property," Mr. Meyer said. "The redevelopment team at RACER really evaluates the properties like a buyer would, and they're very transparent with their diligence and research. This property has not just the proximity to the GM plant but the overall location, great infrastructure and work force that you need for a project to be successful."
Lordstown Mayor Arno A. Hill welcomed NorthPoint's investment, noting that it is the latest in a series of good economic news for Lordstown.
"We are confident the development of the former GM property could breathe more new life into the Valley," Mayor Hill said. "The plan and vision that Chad Meyer has expressed to me for the property perfectly aligns with Lordstown's interests. We believe a true partnership can be formed to redevelop the property and transform this area of our community into a master planned, Class A modern manufacturing and distribution park."
About RACER Trust: RACER (Revitalizing Auto Communities Environmental Response) Trust was created to clean up and position for redevelopment properties and other facilities owned by the former General Motors Corp. before its 2009 bankruptcy. RACER is one of the largest holders of industrial property in the United States and is the largest environmental response and remediation trust in U.S. history. When the Trust was formed, it owned properties at 89 locations in 14 states, principally in the Midwest and Northeast. The Trust was created by a settlement agreement in the U.S. Bankruptcy Court between the U.S. Government, the 14 states where the former GM properties are located, and the St. Regis Mohawk Tribe, which owns land adjoining one of the properties in Upstate New York. For more information, please visit our website: www.racertrust.org.
About NorthPoint Development: NorthPoint Development, based in Kansas City, is a real estate development, management and leasing firm that is principally focused on industrial and multifamily markets. Founded in 2011, NorthPoint is distinguished by its commitment to superior service that goes beyond the contract. Our commitment is to operate by the four basic principles of taking care of our customers, our employees, our investors and the communities we operate in. Our growing portfolio of industrial work, focused on manufacturing and logistics, includes projects in the Kansas City metropolitan area as well as Tennessee, Indiana, Michigan, Texas, New Jersey and Ohio, with more to come. For more information, please visit http://beyondthecontract.com.