CASE STUDY: BUYER’S REPRESENTATION - Terry Coyne · CASE STUDY: BUYER’S REPRESENTATION 2,000,000 SF (Former Chrysler Stamping Plant) $9M Sale Price Scannell Properties 167 Acres

CASE STUDY: BUYER’S REPRESENTATION

2,000,000 SF(Former Chrysler Stamping Plant)

$9M Sale Price

ScannellProperties

167 Acres

“Terry’sin-depthknowledgeofthemarket,theplayers,themunicipalities,andthebehind-the-scenesactivitiesmadethepurchaseoftheproperty

feasibletous,anout-of-townbuyer/developer.”- TimElam,Owner,

Scannell Properties

OUR JOBRepresentthebuyertoacquiretherealestateandlandforscrapmetal,recycledconcrete,naturalgas,mineralrights,andmore.

CHALLENGEIt’scomplicated. DuetothebankruptcyoftheformerChryslerstampingplant,wehadtonavigateasomewhatconvolutedpurchasethatinvolvedaliquidationcompanyandboththerealestateandthenaturalgasandmineralrights.Wehadtodevelopabudgetthatincludedacquisition,demolition,extensiveenvironmentalremediation,utilityrework,andmore.Theneighborhoodwasreelingfromthelossofqualityjobs.Cityincomesufferedduetotheclosingoftheplant.Naysayersdoubtedthatthedevelopersinnovativeplanwouldwork.So,wehadourworkcutoutforustonavigatethesaleandreassurethecommunity.

SOLUTIONEngagethestakeholders.Stayoptimistic.Gostep-by-step.TerrysupportedandaugmentedthevisionofthebuyersastheycreatedCornerstoneBusinessPark,anindustrialandofficebusinesspark.Withaspacespreadingover167acres,noone“magicbullet”solutionwouldresolvetheconcernsofallparties.Wemetwithcityofficialsanxioustoreplacethelostincomeandarrangedforarealestatetaxabatementonacase-by-casebasisfornewtenants.Wemadebestuseofthelocation’srailonsiteandstrategicplacementnexttohighwaystoattracttenants.

RESULTSuccess.CornerstoneBusinessParkwelcomeditsfirstcompanyin2012.Vistar,aconveniencestoredistributor,engagedScannell Propertiestobuildthema137,000SFwarehouse.Aminimumoftwomorebuildingswillbeaddedtotheparkin2015,includinga200,000SFmulti-tenant,speculativebuildinganda303,000SFpackaginganddistributioncenter.

“Personalrelationshipsmeanalotwhennavigatingamomentousundertakinglikethisone.Wenotonlyhadtodealwiththeliquidationcompanythatownedthepropertyandequipment,butalsowithcitygovernmentofficialsandpotentialtenantstomakesureourclientwassetupwith thebestchanceforsuccessfortheirboldvisionwith167acresofpotential.”– TerryCoyne

TerryCoyne(SIOR,CCIM)isafull-servicecommercialrealestatebrokerinCleveland.AspartofNewmarkKnightFrank,TerryhasprovidedrealestatesolutionsforNortheastOhiosince1995.He’sconsistentlyatopbrokernationwide.ContactTerryat:tcoyne@ngkf.com