Hawk Distribution Services

Small Refrigerated Warehouse Buildings

Smaller Refrigerated Buildings selling rapidly in the Midwest.

There appears to be an interesting development regarding the time on market time that is required to sell or lease smaller refrigerated buildings. Over the last 3 or 4 years commercial real estate sale and leasing activities have been slower than usual normal commercial real estate market activities. Industrial real estate is one of the several categories within commercial real estate. Refrigerated buildings are a niche within industrial real estate. All niche real estate, no matter what the niche type, will require a longer length of time on the market before a sale or lease. The length of time required to sell or to re-lease a refrigerated building has always been much longer than the non refrigerated dry warehouse or manufacturing facility.

A refrigerated building is either a warehouse facility or a food processing plant. These facilities have either cooler or freezer warehouse space in the refrigerated floor space. A refrigerated building has to have at least 15% of the building’s floor space being either capable of cooler or freezer operating temperatures. Further, the definition of what a small refrigerated warehouse what a large refrigerated warehouse is has never been clearly defined. Generally it is held that a facility that has refrigeration capacities of over 15% and is less than 25,000 ft.² is considered a smaller refrigerated building. There seems to be a many smaller refrigerated buildings are 15,000 ft.² in total square footage.

The amount of time to sell any refrigerated building was always dependent on the demand at any one time for freezer or cooler space in the marketplace in which the refrigerated building is located. The definition of marketplace usually varies primarily according to the population density. Demand for a refrigerated building is also affected the distance it is from the refrigerated building customer base. With all these things taken together, most of the time in a normal marketplace in the Metropolitan area the average time on market was about 18 months, plus or minus, 6 months.

The smaller refrigerated building, either refrigerated warehouse or a refrigerated food processing plant has been selling within Metropolitan areas within 4 months of being placed on the market.

Hawk Distribution Services, LLC has over 25 years experience real estate brokerage of refrigerated warehouse building or refrigerated food processing plants throughout the Midwest.

  
To view refrigerated buildings available for sale or lease in the St. Louis, Missouri metropolitan area, or to view refrigerated buildings for sale or lease in the Kansas City, Missouri metropolitan area go to www.hawkds.com

   For St. Louis refrigerated buildings call Jim Cronin at 314-994-0577 or email Jim Cronin at J.Cronin@HawkDS.com
    For Kansas City refrigerated buildings call Phil Pisciotta at 816-510-2060 or email Phil Pisciotta P.Pisciotta@HawkDS.com