An Indianapolis investor sold a 306,000-square-foot FedEx distribution center in Niles for $84.3 million, one of the biggest local industrial deals in recent months.
Scannell Properties sold the 34-acre property at 5959 West Howard Street to an entity named Niles Property Holding Company LLC, according to Cook County property records. The LLC ties back to New York-based Global Securitization Services, an administrator of special-purpose entities that likely represents the true buyer.
The buyer secured a $46.5 million acquisition loan for the deal from Morgan Stanley.
Scannell developed the automated package sorting and distribution center for FedEx in 2014, demolishing a 756,000-square-foot former distribution center for industrial supply company Grainger. The project cost an estimated $30 million, according to coverage at the time.
Representatives of Scannell and Global Securitization Services did not immediately respond to requests for comment.
Chicago-area industrial sales are on a record roll, helped in large part by the unrelenting rise in e-commerce sales nationwide.
That steady growth has translated into a need for industrial space, as online merchants look for warehouses to store their goods, logistics centers to handle deliveries and data centers to store computer servers that handle the online transactions.