the JLL’s Phoenix Office entered into a 300,100 square foot lease to the HelloFresh subsidiary Postman, America’s first fully prepared meal delivery service. The lease is at Yuma | 143, a two-building, Class A industrial project still under construction, co-developed in Goodyear, Ariz., By the Chicago-based company. Baker Development Corporation (BDC) and Foundation Capital Partners (FCP) of New York, as well as the financial partner GTIS Partners.
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The lease marks Metro Phoenix’s second recent industrial engagement by HelloFresh, the world’s largest meal kit company, which operates in 16 markets around the world. Factor will use the building as a regional packaging and production center and is expected to begin operating in the fourth quarter of 2022. This new facility will fuel Factor’s next phase of growth to serve new and existing customers in the Western and Eastern regions. Midwest.
The new production center is expected to generate around 800 or more new local jobs when fully operational.
“The City of Goodyear is very pleased to welcome Factor. We are pleased that they have chosen to locate their new facility in our growing community, ”said Goodyear Mayor Joe Pizzillo. “Factor’s wholesome, wholesome meals contribute to the health and well-being of their customers across the United States and this great addition to Goodyear provides new employment opportunities and continues to grow our economy, providing better quality of life for our residents. “
“We are excited to expand our production capabilities in Arizona as we continue to develop Factor,” said Mike Apostal, CEO of Factor. “Goodyear’s new facility responds to growing demand for Factor, providing new and existing customers with fresh, healthy and convenient ready-to-eat meal solutions. “
The new Factor building will be located at 14170 W. Yuma Rd., Between Litchfield and Bullard Roads. It is being developed in tandem with an adjacent, fully speculative, 190,000 square foot Class A industrial building. Both buildings are expected to be completed by BDC in early Q1 2022. They are located just north of the Phoenix Airport. Goodyear and less than two miles from Interstate 10, which puts them within a 30-minute drive of 1.7 million residents and about 5 to 6 hours from ports. from southern California.
“Goodyear has a proven track record as a logistics leader and is rapidly becoming a hub for light manufacturing, ranking ninth fastest growing city in the United States and second in labor market in the United States, ”said Daniel Slack, director of Baker Development Corporation. “The city’s geographic, regulatory and demographic advantages have prompted us to build two premier projects here, totaling approximately 1 million square feet. These attributes, coupled with market forces such as relocation and supply chain disruptions, will continue to attract top tenants like Factor. We welcome HelloFresh and Factor to Yuma | 143.
“GTIS is delighted to partner with Baker, the City of Goodyear and Factor on this exciting project,” said Stephen Tanenbaum, Managing Director of GTIS Partners. “Phoenix is currently a key target market for GTIS due to its impressive population growth and conducive business climate. Yuma | 143 also marks our second investment in an opportunity area in Metro Phoenix and our 15th overall investment since the inception of the company.
Yuma | 143 is BDC’s fourth major industrial development in the Phoenix area. It is preceded by VB | 143, a $ 46 million, 325,000 square foot Class A industrial project also located at Goodyear and also co-developed with FCP. In May, BDC purchased 28 acres just northeast of Sky Harbor Airport in Phoenix for Park 52, a more than $ 100 million industrial park with 350,000 square feet targeting the last mile user and the e-commerce. In June, it purchased 81 acres in Surprise, Ariz., For Cactus 303, a $ 150 million industrial park planned for 1 million square feet and six Class A buildings overlooking Loop 303, and completed by approximately 16 acres of retail along the frontage of Cactus Road.
HelloFresh was represented in its lease negotiations by JLL Managing Directors Marc Hertzberg and Anthony Lydon, Executive Managing Director Adam Citron and Partner Kelly Royle. Hertzberg, Lydon of JLL and Riley Gilbert, Senior Executive Vice President, represented the owner of the building, a joint venture controlled by BDC and FCP.
“It was the perfect scenario – a Class A building under construction that allows Factor to make process specific modifications and cold store modernization to meet their exact food grade needs,” said Hertzberg. “It is a premier logistics location with an abundance of manpower that will strengthen their regional supply chain platform. “
Yuma | 143 is located in the planned Goodyear Gateway South Industrial Park, surrounded by neighboring companies such as FedEx, Quetico, Chewy and UPS. It offers foreign trade zone / magnet status, allowing up to 72% reduction in property tax and personal property tax.
Factor is expected to move to Yuma | 143 in spring 2022.