GLP Gets $64M Loan for Miami Industrial Project

Modlo Air Logistics Center. Image courtesy of JLL Capital Markets

Modlo, GLP Capital Partners’ logistics operating platform, has secured a $64.2 million construction loan for Modlo Air Logistics Center, a three-building industrial park in the Miami suburb of Doral, Fla.

JLL Capital Markets helped structure the note on behalf of the borrower, while Bank of America provided the three-year, floating rate financing.

Construction on the 495,073-square-foot campus began in October, with completion slated for the second quarter of next year. The buildings will feature 36-foot clear heights, 110 dock-high loading doors, 120- to 180-foot truck courts and 54-foot column spacing. The developers, a partnership between Modlo and Foundry Commercial, enlisted RLC Architects to design the warehouses to meet LEED certification standards.

The JLL Capital Markets team included Senior Managing Director Bill Fishel, Managing Director Melissa Rose and Analyst Maddy McMillen.

Located at 7777 NW 41st St., the development site is roughly 2 miles from Miami International Airport and 19 miles west of the Port of Miami.

GLP acquired the 23.7-acre site for $55 million from Terra and Terranova Corp. near the start of this year. The previous owner had originally planned to develop a retail and warehouse property on the site, home to a former regional PepsiCo headquarters.

A booming industrial market

According to a third-quarter JLL report, the surrounding Airport West submarket has seen no new completions during this year. At the same time, Miami’s industrial sector has approached historically high absorption rates, with 4.6 million square feet of industrial space leased in the third quarter.

Industrial rents in Miami increased by 3.6 percent during the 12 months ending in October, averaging $8.78 per square foot, while the vacancy rate remained 100 basis points less than the 5.9 percent national average, a recent CommercialEdge report shows.