Biggest Multistory Warehouse In The U.S. Planned For Brooklyn

A rendering of Sunset Industrial Park, a four-story, 1.3M SF warehouse planned in Brooklyn
Courtesy of Bridge Development Partners/DH Property Holdings
A Rendering Of Sunset Industrial Park, A Four-Story, 1.3M Sf Warehouse Planned In Brooklyn

As retailers continue to seek ways to deliver their products to as many customers as possible as fast as possible, developers are building bigger and taller than ever to help them.

Bridge Development Partners and DH Property Holdings have joined forces to acquire an 18-acre site in Brooklyn, where they plan to a build a four-story, 1.3M SF distribution center, the largest multistory warehouse in the United States.

The joint venture, backed by equity partner Banner Oak Capital Partners, acquired Sunset Industrial Park along the Gowanus Canal for $255M from The 601W Cos., GlobeSt reports.

Bridge and DH, run by developer Dov Hertz, plan to demolish the existing brick industrial buildings on the site and replace them with the behemoth. The warehouse would allow trucks to access all four floors, with 38-foot clearance heights on the bottom two floors and 28-foot clearances on the top two.

“This will be a groundbreaking project for the U.S. industrial market, not only because of the building’s unprecedented design — essentially, four separate, stacked distribution centers — but also because of the enormous benefit it will have from a ‘last mile’ standpoint,” Bridge Northeast Region partner Jeff Milanaik said in a press release.

The JV expects to start demolition early next year and to begin ground-up construction before the end of 2020. It was unclear whether the developers would wait for a tenant or begin construction speculatively.

Hertz is a pioneer in New York multistory warehouses, planning the first ground-up facility in Brooklyn's Red Hook neighborhood last year. The new design of the facilities — which are traditionally single-story boxes in suburban or rural locations close to major highways — has become palatable as retailers look to be able to deliver across New York City within days or hours of receiving an order.

“Located within 5 miles of the Verrazano bridge, and within a one-hour drive of 13 million consumers, Sunset Industrial Park presents the perfect location for last-mile distribution,” Hertz said in a statement.

CORRECTION, JAN. 28, 11 A.M. ET: A previous version of this article misstate the purchase price of Sunset Industrial Park. It was acquired for $255M. This story has been updated.

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's New York Newsletters
Related Stories

DFW Industrial Thrives As Tenants Seek Quality, Flexibility And Power

'Something Has To Give': NYC Economic Development Corp.'s Big Ambitions Collide With Red Ink

BXP Lands Equity Partner For Madison Avenue Office Project

Prologis Warns Higher Borrowing Costs Will Slow Industrial Deals, Development

Swedish Real Estate Giant To Buy Stockbridge For Up To $550M

Space Race: How The Private Sector's Orbital Aspirations Are Driving CRE On Earth

Foreclosure Suit Filed At Stalled Penn Plaza Life Sciences Project

Tire Titan Acquires 2M SF Illinois Distribution Facility In Deal For Its Decadelong Home

Wonderful Real Estate Inks Major Land Deals, Sells 1M SF Facility Near Bakersfield

South Florida Developers Pull Back On Industrial Construction

Developers Land $204M Loan For East Village Project: The N.Y. Deal Sheet

Power Down: Grid Congestion Stalls Dutch Development