A rendering the Millstone 8 Logistics Center, a planned two-building, 1.22 million-square-foot industrial campus at 505 Route 33 in Millstone — Courtesy: Crow Holdings Industrial
By Joshua Burd
A development group has started construction at the site of a planned two-building, 1.22 million-square-foot industrial campus near Exit 8 of the New Jersey Turnpike.
Crow Holdings Industrial, which has partnered with The Carlyle Group and 2020 Acquisitions, said the project at 505 Route 33 in Millstone is slated for delivery in early spring 2022. When complete, the Millstone 8 Logistics Center will include modern buildings of 1 million and 220,000 square feet, boasting a location some 15 minutes from the recently upgraded interchange.
“Millstone 8 Logistics Center will meet a rapidly accelerating demand for modern logistics facilities in the Northeast, providing one of just a few options for tenants seeking occupancy of a million-square-foot building,” said Clark Machemer, senior managing director at Crow Holdings Industrial. “The improvements made to the Exit 8 interchange associated with the widening of the New Jersey Turnpike have made access to the property extremely efficient for industrial operations. Overall, this property will be a very attractive location for tenants seeking cutting-edge industrial space across the region.”
The developer said the team completed its acquisition of the 140-acre parcel this past spring, paving the way for two industrial buildings with favorable site amenity ratios, full circulation and the ability for tenants to have independent security. The larger of the two buildings will have a 40-foot clear ceiling height, 274 dedicated trailer parking stalls and 172 loading doors, CHI said, while the 220,000-square-foot building will have a 36-foot clear height, 37 dedicated trailer parking stalls and 50 loading doors in a cross-dock configuration.
JLL’s Rob Kossar, Joel Lubin, Nate Demetsky and Leslie Lanne of the firm’s East Rutherford office will lead the project’s leasing team.
“New Jersey remains one of the strongest industrial markets in the country, and developable land in proximity to the Turnpike has become increasingly hard to find,” said Efrem Gerszberg, CEO of 2020 Acquisitions. “With the e-commerce evolution, there is growing demand for distribution facilities with entitlements in hand, and we look forward to realizing our vision for the property in the near future.”
The joint venture took over the property after obtaining the purchase rights from Seth Gerszberg of Active Acquisitions, the initial developer on the project, CHI said. It will look to tap into a relatively undeveloped submarket along the Turnpike that provides efficient access to both the New York and Philadelphia metropolitan areas.
“Carlyle has been actively investing in the logistics space for years where we continue to see strong industry tailwinds,” said Michael Gershenson, a managing director with the Carlyle Group. “We look forward to partnering with Crow Holdings and 2020 Acquisitions in developing this world-class facility where we see significant value creation potential.”