JLL Capital Markets closed a $125 million recapitalization of Gateway Industrial Center, a 69-acre, 1.4-million-square-feet industrial campus located in the metropolitan Detroit area.
JLL represented Innovo Development Group in arranging $10 million of JV equity utilizing the Realty Mogul platform to recapitalize the venture. The equity raise follows an $80 million financing package JLL also arranged in June 2021 on behalf of the sponsor.
Gateway Industrial Center is located at 12601 Southfield Freeway, which provides immediate access to both Interstate 96, the area’s main east-west artery, and the Southfield Freeway, which serves as the area’s primary north-south transportation route connecting tenants to Interstate 94 and 75. Additionally, the property has on-site access to regional railway via the Central Pacific – Oak Terminal, while offering tenants access to a skilled local workforce in the heart of Metro Detroit.
Last month, Detroit-based Innovo completed an expansion of the property totalling 421,000 square-feet of speculative development. The new, state-of-the-art manufacturing, warehouse and logistics facility features over 60 dock positions, 36-foot clear heights, 50-by-50-foot column spacing, heavy power suitable for electric vehicle battery requirements, LED lighting, and ESFR fire suppression. Additionally, the property provides parking for 317 vehicles and 100 trailers.
The JLL Debt and Equity Advisory team representing the sponsor was led by Senior Director Stephen Van Leer, Managing Director Ed Halaburt, Managing Director Trent Niederberger and Director Ross Bratcher. Senior Vice President Sean Cavanaugh is handling leasing for the property.
