Logistics parks bring economic boost to Alabama

The network of logistics parks around Alabama is continuously expanding, creating warehouse space for retailers, manufacturers and others
 
By Gail Allyn Short – June 1, 2023

Mobile, Ala. –

Order a book online, buy a new car at a dealership or purchase machine parts for your shop — the chances are pretty high that those items passed through a logistics park.

Simply put, logistics parks — sometimes called logistics centers — consist of clusters of industrial warehouses strategically positioned close to rail lines, roads, waterways or airports. Retailers and manufacturers use warehouse space to engage in handling, assembling, light manufacturing, storing or packing goods and materials before shipping them off to retail outlets or distribution centers.

The network of logistics parks around Alabama is continuously expanding with new ones being built across the state. Here’s a look at three that are changing the economic landscape in their regions.

See Business Alabama press here: https://businessalabama.com/logistics-parks-bring-economic-boost-to-alabama/

 

South Alabama Logistics Park (SALP) Named 2023 Commercial Development Of The Year COSTAR Impact Award Winner

Winners were selected by a panel of more than 750 esteemed industry professionals across 128 markets at the second annual commercial real estate awards

 

Mobile, Ala. – The CoStar Group, the world’s leading provider of commercial real estate information and analytics, named South Alabama Logistics Park (SALP) the 2023 Commercial Development of the Year CoStar Impact Award winner in the booming Mobile, Alabama industrial market.

 

The CoStar Impact Awards recognize exemplary commercial real estate transactions and projects completed in 2022 that have significantly influenced neighborhoods or submarkets across 128 major international markets in the United States, Canada, and the United Kingdom.

 

Winners—chosen for their growth, diversification, and ability to overcome unique challenges in their particular markets—were selected from a panel of more than 750 industry professionals drawn from each respective market.

 

“We’re honored to receive this award, which is a testament to the growth and pro-business environment in Mobile,” said Philip Burton, President and CEO of the Burton Property Group and the developer of the South Alabama Logistics Park. “SALP is a ready-made solution to many businesses’ warehousing and distribution needs and we’re excited about what’s to come.”

 

“We’re grateful for the chance to recognize the accomplishments of noteworthy real estate projects and transactions across the industry,” said Andy Florance, Founder and Chief Executive Officer of CoStar Group. “As the industry continues to evolve, real estate professionals have adapted and contributed immensely to the neighborhoods they serve through innovative projects and community-driven initiatives.”

 

SALP is a 1300-acre master planned logistics park located on Interstate 10 in Theodore. With its proximity to the Port of Mobile, Brookley Aeroplex, and interstate and rail connections, SALP is expected to become a major contributor to economic growth in the area. SALP is the largest similar development along the Gulf Coast with the potential to bring 5000 new jobs to the area by the end of the decade.

 

The award highlighted the relocation and expansion of two national businesses – DC Safety and Averitt Express – to the park, which state officials hailed as a sign of additional major developments to come.

 

At the time, Alabama Governor Kay Ivey said, “Days like today prove why Alabama’s economic comeback is leading states around the country and why the Mobile area is a major catalyst for the entire state,” Ivey said. “Companies like DC Safety and Averitt and places like the South Alabama Logistics Park are making this success possible. I’m confident that more and more companies from across the country and the world are learning that Alabamians are as good as they come and that our state is the best place to do business.”

 

Additional information on the award and on SALP is available online here: https://www.costar.com/article/1440982483/two-national-businesses-relocate-to-newly-developed-south-alabama-logistics-park

 

 

Chinaberry: A Cottage to Cherish

Chinaberry Cottage at the foot of Spring Hill has maintained the same disheveled appearance for years, so when it underwent an incredible transformation, many regular passers-by may have done a double-take.

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BPG Begins Project to Reinvent Spring Hill Village Center

Spring Hill Village to be Reinvented  Mobile, AL  – August 3, 2021 – Burton Property Group, owner of Spring Hill Village Shopping Center, a retail center in the heart of Mobile’s Spring Hill district, has announced a $4 million capital improvement plan to dramatically upgrade the property. 

Owners announced Monday that Spring Hill Village, the Rouses-anchored shopping center, will undergo a major redevelopment in order to enhance all aspects of the center. The improvements include a redesigned façade throughout, as well as parking lot improvements to enhance flow and the construction of two new out parcels. Burton Property Group is taking a strategic, phased approach in order to minimize disruption and enable tenants to remain open during the entire re-development process. Owners will invest over $4 million to update the center and will follow the Village of Spring Hill code for the new out parcels.

The Village of Spring Hill, Inc. President, Linda St. John stated, “We are thrilled to see the investment made by the owners to update one of the main commercial corridors in our Village!  The new design, featuring Village streetscapes and two out parcels on Old Shell Road and North McGregor Avenue is a great example of how existing commercial properties in Spring Hill can be modified to become compliant with The Village of Spring Hill Master Plan.” 

Mobile City Council District 7 Representative, Gina Gregory added, “I’ve been working with the Village of Spring Hill and the Developers in an effort to leverage the City’s planned improvements alongside McGregor Avenue South, and I’m looking forward to the completion of these improvements for the Citizens of District 7.”

The capital improvement project is projected to be complete in early 2022.

Burton Property Group Announces Plans For 1,300-Acre Logistics Park Off I-10

MOBILE, AL, April 6, 2021 –

Burton Property Group, a southeast-based real estate development firm unveiled details on plans to develop a master-planned industrial park within the city of Mobile, South Alabama Logistics Park (SALP). The project is the result of a 3-year effort between Burton Property Group, the County of Mobile, City of Mobile, Port of Mobile, and the Mobile Area of Chamber of Commerce resulting in the development of a 1,300-acre Class A park which will be located off I-10 in South Mobile County. 

The project has received Infrastructure support from both the City of Mobile and the County of Mobile.  South Alabaman Logistics Park (“SALP”) is aimed at providing class A Industrial Warehouse and Distribution Space for the growing number of Port Users and potential light manufacturers who need to be located in close proximity to the Port of Mobile and Mobile Aeroplex at Brookley. With over 6,000,000 square feet planned in Phase 1, SALP would be the largest in the State of Alabama and one of the largest in the Southeast. 

“Having the support of the City and County of Mobile has been a major catalyst to bringing this project, and the stimulus it will create, to reality. This truly has been a partnership. The total investment for phase one, once fully developed, will be over $350 million and we are projecting over a 1,000 jobs for South Mobile County said Philip Burton, CEO of Burton Property Group.

Burton Property Group is expecting to close on the property this summer and is in the process of investing in needed infrastructure to attract the target. The company will construct speculative sites as well as offer a build-to-suit option. 

 Click here for site-plan >> 

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Southeast Real Estate Business: Organic Growth Takes Flight

In addition to winning high-profile projects, both Alabama and South Carolina are experiencing organic growth from existing companies.

“We’ve witnessed and worked with some existing companies that are experiencing growth and expansion needs when it comes to their real estate,” says Philip Yost, vice president at CBRE’s Birmingham office.

Honda continues to grow its operations in Talladega County with a multi-phase project that will improve flexibility, strengthen efficiency and prepare for future technologies. The latest phase announced by the automaker is a $54.8 million expansion that will add more than 50,000 square feet at Alabama’s Line 2 operations. The expansion is slated for completion in early 2021.

In August, Burton Property Group (BPG) broke ground on a $75 million facility for all Continental Motors Group product lines dedicated to advanced engine and parts manufacturing. The new facility will be located at the Mobile Aeroplex at Brookley, an industrial complex and airport in Mobile.

The facility will consolidate the aircraft engine manufacturer’s operations from 11 buildings situated on 45 acres to two buildings on approximately 20 acres. The buildings will total 275,000 square feet, with the majority being dedicated to aircraft engine and parts manufacturing. The facility is expected to be operational by 2020.

“The Continental Motors project was a result of the company’s growth in that community,” says Byers of Cushman & Wakefield/EGS. “The firm decided to consolidate its functions under one roof as opposed to many roofs. That allowed the company to continue to grow without necessarily adding a whole lot of people.”

Airbus’ Alabama factory is in line for 600 new jobs, thanks to a planned second assembly line for the Bombardier C Series jetliner. Airbus launched production of A320 Family aircraft at the Mobile manufacturing facility in 2015. The $600 million complex now produces four aircrafts a month and employs more than 400 people. “Airbus is the most active aerospace user in Alabama,” says Yost. “As it continues to expand and increases the number of plants that it’s building, you’re going to see continued growth. Whether it be suppliers or indirect users, they will be taking a more serious look at Mobile.”

South Carolina-based companies are expanding their operations as well. In September, Mercedes-Benz Vans, a division of Daimler AG, opened a new $500 million facility in North Charleston for the production of its Sprinter vans. The automaker has been at the North Charleston site since 2006, but this is the first time the company will build vehicles from scratch.

Until now, all Sprinter vans sold in the U.S. have been built in Germany and then disassembled and sent to North Charleston for reassembly. But as Sprinter sales took off in North America, Mercedes-Benz Vans started looking for a complete manufacturing site, eventually settling on its North Charleston location in 2015. The expansion of the production facility tripled the automaker’s footprint, which now spans nearly 10 million square feet.

Magna International, a mobility technology company and one of the world’s largest automotive suppliers, is expanding its seat manufacturing plant in Spartanburg County, South Carolina. The company’s $8 million expansion is expected to create 130 new jobs. The company’s seat manufacturing plant supplies seats to BMW Group.

“Growth is not exclusively about bringing new companies into the state; it’s also about the successful expansion of companies after they locate in South Carolina,” says VonNessen.

“In recent years, employment and revenue growth have been outpacing firm growth in the aerospace industry, implying that existing firms are expanding,” he explains. “Manufacturers are entering South Carolina and then thriving once they are here.”

 

Burton Property Group announces large project

 

Burton Property Group recently announced it has completed an agreement on a joint development project with Stonemont Financial Group to construct Continental Motors Group’s (CMG) corporate headquarters and manufacturing facility at the Mobile Aeroplex at Brookley.

“We are thrilled to be a part of the project team and the major progress this brings to the region,” Philip G. Burton, president and CEO of Burton Property Group, said.

The new facility will consolidate operations for CMG from 11 buildings on 45 acres to two buildings situated on approximately 20 acres. The development is a strategic step by CMG to advance its manufacturing process. The total facility footprint will encompass some 275,000 square feet, with the majority of the site dedicated to engine and parts manufacturing.

“We are pleased to be partnering with Continental Motors, Burton Property Group and Clayco on this mission-critical project,” Jeff Berryhill, principal of Stonemont Financial Group, said.

Chicago-based Clayco Inc., the design-build firm contractor on the project, will begin construction immediately, according to a news release.

“We look forward to partnering with Continental Motors Group on the design and construction of their new manufacturing facility,” said Anthony Johnson, Clayco executive vice president and shareholder. “Our commitment to Continental Motors is to collaborate closely with their team to create a manufacturing environment that optimizes their quality, safety and productivity.”

The total project is expected to take 11 months, plus another year to fully move in. Once completed, the facility will consolidate all of CMG’s United States manufacturing.

“Continental Motors is excited to break ground on our state-of-the-art facility with the support of our partners, Burton Property Group and Stonemont Financial Group,” said Rhett Ross, president and CEO of CMG.

CMG is a global firm centered in the general aviation business sector. It employs upward of 450 workers in Mobile and Baldwin counties. Continental Motors Group Ltd. of Hong Kong, China, is a subsidiary of AVIC International Holding (HK) LTD, a publicly traded company on the Hong Kong stock exchange.

The multinational firm provides advanced gasoline and Jet-A piston engine products, avionics equipment and repairs within the general aviation marketplace. CMG employs approximately 675 workers in the U.S., Germany and China

Burton Property Group, LLC, is a full-service commercial real estate investment, development and management firm headquartered in Mobile.

Burton Property Group to Break Ground on New Headquarters for Aircraft Engine Manufacturer in Mobile

MOBILE, ALA. — Burton Property Group (BPG) will soon break ground on a new corporate headquarters and manufacturing facility for Continental Motors Group at the Mobile Aeroplex at Brookley, an industrial complex and airport in Mobile. The facility will consolidate the aircraft engine manufacturer’s operations from 11 buildings situated on 45 acres to two buildings on approximately 20 acres. The buildings will total 275,000 square feet, with the majority being dedicated to aircraft engine and parts manufacturing. BPG partnered with Atlanta-based investment firm Stonemont Financial Group to fund the development. Clayco Inc. is designing and building the project, which is expected to take 11 months to complete. Continental Motors Group employs approximately 450 people in Alabama’s Mobile and Baldwin counties.