1600 MAIN STREET, FOSTORIA, OHIO 44830
Uniboard, a manufacturer of engineered wood products, announced it was closing their 192,000 square foot manufacturing facility in Fostoria, Ohio. In the midst of a recession, the client challenged The Reichle Klein Group, Inc., with disposing an asset that was located in a rural area that was built in stages, had no room for expansion, negligible access to the highway system and a history of environmental contamination. On the other hand, the property had heavy power, internal docks and rail spur, wide column spacing and a recent addition which included a high ceiling clearance. Our primary marketing target was going to be rail users with the intent to ultimately sell the property within a 24-month time frame.
It was decided that Reichle | Klein would take the property to the market for sale and lease in order to maximize the exposure. Uniboard was willing to lease for short term commitments while maintaining the ability to sell the property. It was agreed that a tenant may enhance the sale value of the property and within 60 days, a tenant was found for a portion of the property.
In the meantime, a buyer from out of state looking in the area was presented with the property. The prospect needed particularly wide column spacing but also wanted a location near major expressways to minimize transportation costs. They originally dismissed the property due to the large size and location but the column spacing requirement limited the options to so few, they had to consider it. Ultimately, they reconciled the additional transportation costs by taking advantage of the rail feature while off-setting their basis with the rent from the tenant. The sale was completed in 8 months, exceeding the seller’s expectations.
“Your efforts to get the property on the radar and show the facility is what brought us to a closing as quick as it was.” “I can’t see how Lynette and Gary could have done a better job. Eight months from listing date to sale closing date. This was exceptional.” - Larry Fortier, Director, Special Projects Uniboard
“Lynette was very knowledgeable on everything we asked about. Very impressive.” - Glen Knopp, Inland Tarp