By Jon Peterson
Link Logistics, the industrial investment arm of New York City-based Blackstone, is planning a new industrial development project in Fremont, Calif. The company is planning to issue a $50 million investment into the project, as stated by the investor in an email.
The name of the development is Frontier Elm Business Center and it is located at 47020 Kato Road. Presently, there are two existing buildings on the site, which have been vacant for six years. The demolition of the buildings will start in the near term, and the projected completion date for the redevelopment is projected to be sometime during the second quarter of 2023.
The development will be started on a speculative basis without any tenants lined up for the project. The targeted audience for this project will likely be companies involved in advanced manufacturing. The area near the project has several world-class industrial and manufacturing organizations that have their operations nearby. These include Tesla, ThermoFisher, Solar City and Siemens.
Link Logistics sees a lot of upside potential with this project. “Frontier Elm is a great representation of our development strategy at Link Logistics, which focuses on infill locations across the United States. When completed the project will be a state-of-the-art business center with over 200,000 square feet of space for companies looking to expand their business,” says Bryan McKrell, a managing director in the western region for Link Logistics.
The project is also a showcase development for the City of Fremont. “Link Logistics is a national leader in industrial real estate, and we are excited to see them break ground on this marquee project along Kato Road. This development cements Fremont’s leadership in attracting advanced industries and their supply chains,” says Lily Mei, major of Fremont.
Industrial space in Fremont continues to be in large demand from both tenants and investment capital sources. According to data compiled by Colliers through mid-June of 2022, the overall vacancy for industrial space in Fremont is 3.5 percent.
Link Logistics is no stranger to owning and developing industrial assets in Fremont and the greater San Francisco Bay Area. Before breaking ground on this development, the company grew its presence to two million square feet in Fremont and a total of 12 million square feet spread across the greater Bay Area region.