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Rabina Properties, a New York real estate investment firm, had two adjacent warehouse/distribution properties in Auburn, MA that had experienced several years of significant vacancy.
Our team went to work immediately upon engagement and soon signed two tenants for the first building (26 Millbury Street), Karl Storz Endoscopy America (140,000 sf) and Imperial Distributors (85,000 sf). Having outgrown its facility in Southbridge, Karl Storz was seeking a new location that could serve as both its North American distribution center and its regional offices. The challenge was that there was not enough time left on their current lease for their buildout in Millbury to be completed.
We recommended a two-part strategy: find a contractor who could fast-track the buildout and try to negotiate a short-term lease extension for the Southbridge location. The team was able to execute on both parts of the strategy, ensuring an orderly transition for Karl Storz while minimizing the amount of time the company needed to have both properties under lease at the same time.
Our team also was able to significantly improve the stability of the second property (28 Millbury Street) by negotiating a long-term lease extension on 210,000 +- square feet of Class A, high bay warehouse space with Interline Brands, a subsidiary of The Home Depot. In additional to the lease extension at 28 Millbury Street, Kelleher & Sadowsky was also able to facilitate a take-back of space at 26 Millbury Street which facilitated further Interline expansion by adding an additional 45,000 +- square feet to supplement their fully occupied warehouse facility. With several moving parts, all parties involved recognized their objectives thanks to creative brokerage solutions that were provided by Kelleher & Sadowsky. Kelleher & Sadowsky was involved in all aspects of the lease negotiations, buyouts and lease extensions at all properties mentioned above, and helped the client identify the commercial contractor to complete the necessary construction in a timely manner. Kelleher also proved to be an invaluable resource in referring other local firms that were able to provide assistance with legal representation to meet all local code related issues, as well as architectural and engineering services to see the various projects through to completion.