Prologis Buys NYC Development Site

February 6, 2024

Industrial Investment New York News More Northeast

This newly acquired parcel is one of the largest of its kind in the city.

Prologis has acquired nearly 17 acres in Coney Island, N.Y., for $51 million. Sold by National Grid, the undeveloped land is set to be redeveloped for industrial use.

Located at 2731 W. 12th St. on the southern tip of Brooklyn, the property is one of the largest undeveloped sites in New York City. Formerly a manufactured gas plant, the facility hasn’t been in operation since the 1950s.

Prologis intends to utilize the land—which is zoned for industrial use—as a parking lot for delivery vans, small trucks and passenger cars, Jennifer Nelson, senior vice president of global communications at Prologis, told Commercial Property Executive. The company is also planning to update the surrounding road network, while adding pedestrian safety features.

The site is located between the Belt Parkway and Coney Island Creek. John F. Kennedy International Airport is approximately 14 miles away, LaGuardia Airport is 22 miles from the property and Newark Liberty International Airport is within 20 miles.

The nearby Verrazano Bridge and Brooklyn-Queens Expressway offer distribution and transportation access to all five boroughs and the larger New York area.

JLL Capital Markets’ Executive Managing Director Brendan Callahan, Senior Managing Director Gabrielle Harvey, Managing Directors Hall Oster and Ethan Stanton, Senior Vice President Jordan Yarboro and Associate Braedon Gait arranged the deal on behalf of the seller.

Prologis’s national activity

Last year, Prologis entered into an agreement with Blackstone to purchase 14 million square feet of industrial assets for $3.1 billion. Located across markets including New York, South Florida, Las Vegas, Phoenix, California, Atlanta, Baltimore and Washington, D.C., more than 70 properties were included in the all-cash deal.

In the New York-New Jersey and Tri-State area, the company has some 240 buildings totaling 52 million square feet. Last April, Prologis landed a new tenant at its 525,224-square-foot building in Secaucus, N.J. The warehouse is 13 miles from New York City.

Elsewhere in the nation, the company also remains highly active. Last month, Prologis signed two long-term lease renewals at its 880,000-square-foot industrial park in the Miami metro. The company acquired the asset in 2010 in a portfolio deal with TA Realty.