Duke adds more than 650,000 sq. ft. to Port of Savannah portfolio

Duke Realty Corporation (Duke) has acquired two industrial buildings totaling 657,600 square feet near the Port of Savannah, Ga., from local developer Wrenn Blalock.

In its latest Savannah-area transaction, Duke acquired Northpoint VII, a 225,000-square foot distribution center, and Northpoint IV, a 432,600-square foot distribution center, with each property located in Duke’s Port Logistics Center at Crossroads Business Park. Crossroads Business Park is located approximately three miles from the Savannah port. The two buildings are fully leased to Ocean Link Incorporated and Midwest Air Corporation.

Crossroads Business Park features distribution centers and office space for companies such as Home Depot, Pier One, and Gulfstream. This transaction increases Duke’s ownership at Crossroads to more than 4.5 million square feet. Duke is the largest owner of industrial properties in the Savannah area, with a 5.9 million-square-foot portfolio in a market with more than 30 million square feet of industrial/distribution/space. With an investment value of more than $235 million, Duke’s Savannah portfolio is fully leased.

The Savannah port is the fourth most active in the US and the most active in the Southeast, with more than 890,000 twenty-foot equivalent units (teus) shipped through the port through May 2008, a 15% year-over-year growth rate. According to the May US Port Rankings – Journal of Commerce report, Savannah is the fastest growing major port in the US.

Wrenn Blalock, developer and seller of the buildings, said he is pleased to continue working with Duke as his investment partner. “I expect the Port of Savannah to continue its rapid growth, and I fully anticipate that the combination of my local expertise with Duke’s operating and financial strength will allow us much more success in the years ahead.” Blalock said.

Sam O’Briant, Duke’s Executive Vice President for the Southeast added, “We are very pleased to see the continued growth of our tenant base and portfolio in Savannah. Our logistics customers such as Ocean Link, Schneider Logistics, and Port City Logistics are among the best operators in the city. In this time of rising fuel costs, the short distance from the port to our building allows our tenants to minimize operating costs and provide great services to their clients.”