Chicago-based HSA Commercial Real Estate executed a full-building lease with Marathon Electric LLC at its new Terminus at Hobbs Station development at 9532 Station Blvd. in Plainfield, Indiana.
The 233,618-square-foot lease brings HSA Commercial’s recently completed two-building, 497,540-square-foot speculative development near the Indianapolis International Airport to 45% leased.
Marathon Electric is expected to take occupancy in September 2024 following an interior buildout. The manufacturer of electric motors and generators will use most of the space for warehousing and distribution.
According to Colliers, direct vacancy in the Southwest submarket, which includes Plainfield, was 5.6% in the first quarter, compared with the broader market rate of 9.7%, its highest level since 2010. Developers have slowed activity in response, with just 5.8 million square feet under construction going into the second quarter, well below the year-earlier figure of 18.2 million square feet and the lowest quarterly total since the first three months of 2018.
Situated on 37 acres directly off Highway 40 at Perry Road, Terminus at Hobbs Station features best-in-class specifications, such as 32-foot clear heights, 50-by-50-foot column spacing and 60-foot loading bays. The Marathon Electric building offers 36 dock doors; three drive-in doors; 163 parking spots, expandable to 187; and 48 trailer parking stalls. The adjacent building, which is still available for lease, spans 263,922 square feet, with 31 dock doors; three drive-in doors; 187 parking spaces, expandable to 219; and 30 trailer spaces.
HSA Commercial has been developing in Plainfield for nearly 15 years. In 2022, the firm announced the full lease-up of its seven-building Gateway Business Park—located approximately 3 miles southeast of Terminus at Hobbs Station—a multi-phase project that added 1.2 million square feet of space to the market.
In addition to offering near-immediate access to Indianapolis International Airport, Terminus at Hobbs Station is located near Interstate 70, linking the development to the region’s interstate system. This places users an eight-hour drive from over 40 major metropolitan areas and 75% of the U.S. population. Terminus’ corporate neighbors include Amazon, FedEx, UPS, Walmart, Kohl’s, Geodis, Whirlpool, The Home Depot, Pepsi, Ryder, XPO Logistics and Ingram.
Ownership was represented by Jimmy Cohoat and Andrea Hopper, both based out of Colliers’ Indianapolis office. Cohoat also represented Marathon Electric alongside Darren Ross, based out of Colliers’ Atlanta office.
