Lineage Logistics Acquires MTC Logistics
2 min read
Through its latest acquisition, the company is expanding its footprint on the East and Gulf coasts.
Lineage Logistics LLC, of Novi, Mich., has purchased MTC Logistics, of Baltimore, and its four cold storage distribution facilities totaling nearly 38 million cubic feet of capacity and serving major East Coast and Gulf Coast ports, Lineage announced Wednesday.
Financials on the transaction were not disclosed.
The four facilities are in:
- Jessup, Md. (Port of Baltimore—5.2 million cubic feet, rail service from CSX);
- Baltimore (Port of Baltimore—11.6 million cubic feet, rail service from CSX and Norfolk Southern);
- New Castle, Del., (Port of Wilmington and Port of Baltimore—6.1 million cubic feet, rail service from Norfolk Southern); and
- Mobile, Ala. (Port of Mobile).
With this acquisition, Lineage is adding almost 38 million cubic feet of capacity and more than 113,000 pallet positions in the U.S.
Lineage is the world’s largest temperature-controlled industrial REIT and currently owns more than 400 facilities totaling over 2 billion cubic feet of capacity in 19 countries.
G2 Capital Advisors LLC and Whiteford, Taylor & Preston LLP were the financial and legal advisors to MTC, respectively.
MTC Logistics was a wholly owned subsidiary of Hoffberger Holdings Inc., a diversified, fifth-generation, privately held family business of the Hoffberger family of Baltimore.
Cold stays hot
Research by CommercialEdge indicates that demand by pharmaceutical companies, on top of existing demand by grocery merchants, has helped to boost development in the cold storage sector. Dense urban areas were singled out in the CommercialEdge report as especially sought-after locations, with sale prices running about 40 percent above the national average.
Just this past week, the first speculative cold storage facility in Florida was fully preleased by a single tenant—months before the project is due for completion, in the fourth quarter. Bridge Industrial’s 312,000-square-foot Bridge Point Cold Logistics Center, in Hialeah, will be occupied by FreezPak. PGIM is Bridge Industrial’s joint venture partner on the development.