Commercial Development Company, Inc. announced the sale of 28 acres at the former Evraz steel mill site to First Industrial Realty Trust.
First Industrial will construct a 358,000-square-foot “spec” industrial distribution facility within the First State Crossing development in Claymont. The sales price was not immediately disclosed.
“We understand there is high demand for ready-to-occupy logistics facilities, and we are pleased to work alongside First Industrial to bring this project to Claymont. It is a welcome kick-off to the First State Crossing masterplan,” said Stephen Collins, executive vice president at CDC.
The facility will feature 68 dock door positions and parking for 241 trailers.
A number of “spec’ distribution center projects are in the works in the northern half of Delaware, due to a low industrial vacancy rate.
A second distribution center is in the works at the Tri-State Mall, which is slated for demolition.
“The I-95 Corridor is a critical distribution corridor, and northern Delaware, as part of the greater Philadelphia industrial market, has seen strong tenant demand due to its infill location and favorable business climate,” said John Hanlon, executive director for First Industrial. “Our project offers efficient highway access to I-95 and I-495 and a strong local labor pool. We are excited to bring this state-of-the-art facility to serve businesses in this high-barrier market.”
The facility will be located on the site of the former Evraz mill near I-95 and I-495.
CDC purchased the retired Evraz Steel Mill in 2015 with plans to establish a mixed-use project on the 425-acre site. The mill was razed.
The first step was to build Claymont Transit Center (SEPTA/DART station) to anchor the redevelopment. The $70 million transit center will be the busiest in Delaware, with 44 trains per day. Claymont Station will open in August 2023 and will connect First State Crossing to Greater Philadelphia with express trains to 30th Street Station in just 25 minutes.
First State Crossing is now projected to include 700,000 square feet of industrial, 500,000 square feet of office, 50,000 square feet of retail, and 1,200 apartments and townhomes.
The value of the project is expected to exceed $1 billion in construction costs and will represent the largest economic development project in the state, according to Brett Sadler, executive director of the Claymont Renaissance Development Corporation.
