CBRE will handle a new leasing assignment on behalf of Crow Holdings for the South Cargo Logistics Hub at Milwaukee Mitchell International Airport (MKE), a proposed state-of-the-art on-tarmac air cargo facility totaling 288,000 square feet.
The project has potential to significantly increase capacity at MKE and serve as an economic driver for both the airport and the broader Southeastern Wisconsin and Chicagoland region. Crow Holdings, a privately owned real estate investment and development firm with more than 70 years of history and $24 billion of assets under management at other similar airports, will develop the properties on behalf of MKE.
CBRE’s David Prell and Scott Furmanski will market the redevelopment on behalf of Crow Holdings.
The proposed project consists of a 288,000-square-foot building with 74 docks and 99 trailer stalls. Upon successful completion of the in-progress approval process, the project could deliver in the second half of 2024.
In addition to MKE’s full suite of airport services, the proposed development will offer users access to several strategic benefits including:
- Uncongested airspace
- Runway/ramp ability to handle large cargo aircraft
- Potential built-to-suit warehouse and office space to adapt to tenant needs
- Direct access to I-94, connecting to downtown Milwaukee, Chicago, Minneapolis, Detroit, and beyond
- MKE’s world-class winter weather team, ensuring reliable year-round operations
The proposed project will serve as a legitimate option for cargo tenants looking to avoid the much higher congestion and costs associated with centering operations out of O’Hare. The MKE Airport has a population of nearly 13 million people within a two-hour drive time in Southeast Wisconsin and Chicagoland.
The site was home to the 440th Air Reserve Base from the 1950s until July of 2010 when it was formally deeded back to the County upon the closure of the base by the Department of Defense. The site has been available for large scale commercial development, however it has remained physically unchanged since, with a variety of small commercial uses repurposing old Air Force buildings on short term leases with Milwaukee Airport are not being renewed.
The Airport had been marketing the site to real estate developers for several years, however Crow Holdings presented a concept that is best aligned with the goals of the Airport’s adopted Master Plan. Crow Holdings has led and financed all efforts to date and will continue to do so after the project progresses through permits and any potential remediation.
The project has since undergone 9+ months of extensive due diligence work to determine site feasibility. Currently, Crow Holdings is working with the Airport, the Air Force, and the WDNR to determine any relevant remedial action needed on the site – the last step in finalizing the viability of the site. Any documented environmental issues with the site will be fully addressed and remediated as part of this redevelopment.
