Larry Armour and Steve Dillard of A&D II, G.P. have bought the former BI-LO Corporation distribution center at 5901 Shallowford Road. The building has been empty and for sale since 2007.
“With the addition of Volkswagen, Wacker, Whirlpool, suppliers and other industries in close proximity, our site is a prime location to support the economic impact of the region,” said Mr. Armour.
“This property, along with all it has to offer, is a great fit for support companies, as well as new companies, coming into Chattanooga to take advantage of the tremendous growth and create jobs for the area.
Due to its numerous amenities, the warehouse is one of the most premier facilities in Chattanooga, he said.
Purchased from Ahold USA, the 20-plus acres of prime real estate contain 328,000 square feet of warehouse and office space. The building includes 72 docks, more than 56,000 square feet of refrigerated space, more than 29,000 square feet of freezer space and almost 200,000 square feet of dry storage.
Plans are underway to renovate the attached two-story corporate offices, with a combined space of more than 42,700 square feet available.
“This is truly a unique property with unbelievable possibilities, because it can be adapted for so many different uses depending on the tenant’s need,” said Mr. Dillard.
“We plan to be careful and patient to ensure we lease to the user that will be most suited for the location and configuration of the building and that will be most beneficial to the community.”
As part of a packaged deal, A&D II, G.P. also acquired an 11-plus-acre facility at 2213 Polymer Dr. in the sale. With 172,000 square feet of space, including 34 docks, a drive-in ramp, several rails and a 12,000 square foot truck service building, the property is another worthwhile real estate investment, the principals said.
Also a partner in the property, Trantham Group, owners of Tranco Logistics, has leased the truck facility. The new owners plan to cautiously move forward with leasing to tenants who they feel would be good fits for the two facilities and will make long-term commitments to the community.
“Most of my adult life as an elected official, I have been involved in industrial recruitment for this region,” said Tennessee Deputy Governor Claude Ramsey. “This is one of the most significant pieces of commercial real estate in Hamilton County, and I’m glad to see it has been purchased by individuals who have a stellar reputation for doing quality, high-end development in the region. This will truly be another milestone in the economic development of Chattanooga.”