United States. Fall 2012 Port, Airport & Global Infrastructure presents highlights from the new U.S. Seaport Outlook 2012 Deeper local port analysis Jones Lang LaSalle s port coverage features an in-depth examination of the United States most active commercial ports. Vivid aerials call out key components. Property clocks help to time the market. And a condensed format allows for easy side-by-side comparisons. Readers now have access to striking statistics detailing cargo movement, real estate trends and the massive infrastructure planned to attract the worlds next generation of seagoing vessels. Jones Lang LaSalle is pleased to offer readers its most comprehensive look at port activity ever published; aiming to both inform and reveal opportunity. We invite you to take a moment to see how this new local analysis can benefit you. Key takeaways Our improved PAGI score methodology has revealed a shake-up at the top. The top three are still the same ports, but the Port of New York/New Jersey now leads Los Angeles and Long Beach. The new scores have also revealed an underlying distribution of ports in three distinct tiers. The top two tiers have three ports each while the last contains an additional seven ports. 95.1 Exports, now at an all time high for the United States, have become an increasingly important driver of activity at domestic ports and their surrounding real estate markets. East coast ports continue to make progress in preparing for the opening of the new set of locks at the Panama Canal. Now set to be completed in 2015. Despite the uncertain macro environment, ports have continued to invest heavily in infrastructure improvements. At least $13 billion of public investment is flowing into ports over the next decade. These improvements will expand capacity and increase efficiency. The new port being constructed at Colon on the Atlantic side of the Panama Canal is poised to quickly jump into the ranks of the world's most crucial transshipment hubs. Large blocks of space are disappearing from port markets. A mere nine spaces can house a tenant of greater than 500,000 square feet within 15 miles of any major seaport. Only 20 blocks are available for tenants needing at least 250,000 square feet within five miles of a major port.
Our seaport property clock shows a shake-up since this time last year. Though overall, the seaport markets are ahead of the broader industrial real estate market, some individual ports have slipped. Notably, momentum has slowed near the L.A. and Long Beach ports while Jacksonville, Miami, Seattle and Tacoma have swung significantly into landlord-favorable territory. Seaport property clock Score and methodology 95.1 This year, we have a completely revamped PAGI score. For our third release of the score, we incorporated valuable feedback from industry experts from ports as well as shippers and users of industrial real estate. The result is a more robust score that measures ports on 25 metrics. Each port now has a shipping and commercial real estate score, that combined, make up their 2012 PAGI score. Some of the new metrics measure availability of blocks of space, the age of existing real estate stock, readiness for post-panamax ships, service lines calling on the port, and the size of market served. John R. Carver Executive Vice President Head of Port, Airport and Global Infrastructure Services +1 305 423 4713 john.carver@am.jll.com Aaron L. Ahlburn Senior Vice President Director of Research Industrial and Retail Americas +1 424 294 3437 aaron.ahlburn@am.jll.com Daniel Fenton Research Manager Industrial - Americas +1 404 995 2353 daniel.fenton@am.jll.com
Intermodal is leading the way List of major inland port projects represented by Jones Lang LaSalle across the U.S.
Inland port connections Prince Rupert Tacoma Oakland Los Angeles/Long Beach Phoenix Casa Grande 1 Kansas City Dallas Houston 3 Memphis 2 New Orleans Chicago St. Louis Mobile 5 6 Erie Columbus Norfolk Port Elizabeth Wilmington NC Charleston 4 Hardeeville Savannah Atlanta Jacksonville St. Lucie Miami Lazero Cardenas Tier I container ports Emerging container ports Established inland port locations Future inland ports 1. Inland Port Arizona Casa Grande, Arizona Anthony Lydon aj.lydon@am.jll.com +1 602 282 6268 Inland Port Arizona (IPA) totals over 580 acres of rail-oriented, industrial land and will provide direct rail connectivity to the Ports of Los Angeles & Long Beach, uniquely positioning this site to be a strategic location for supply chains connecting to international markets. IPA will introduce the ability for port customers, 3PL s and others to benefit from a more streamlined supply chain, reducing point to point transportation time and unit costs. IPA will also create a location solution for more effective preparation, loading and handling of cargo containers for their final transport to port terminals. Off the I-8 (1 mile) & I-10 intersection, known as Arizona s Sun Corridor; Site is directly served by Union Pacific rail 580 acres FTZ capability offers 75% real/personal property tax reduction Shovel ready site with all horizontal infrastructure in place Build-to-suits for sale and lease Land sales 2. RidgePort Logistics Center Wilmington, Illinois Keith Stauber keith.stauber@am.jll.com +1 703 458 1386 Located minutes from Chicago, the fastest growing inland port in the nation, RidgePort Logistics Center is a master-planned 1,500 acre development of Ridge Property Trust. It is anchored by three significant pieces of permanent infrastructure including frontage on the BNSF Railway s transcontinental mainline, three miles of frontage on I-55 with a full interchange at Lorenzo Road, and 1,500 acres of developable land. Strategically positioned near the BNSF Logistics Park-Chicago in Elwood, IL, and the Union Pacific-Joliet Intermodal Terminal Distribution, manufacturing and storage Served by BNSF Railway s transcontinental mainline Heavy utilities; no height restrictions Multiple building material allowances Master-planned industrial park to include over 20 million square feet Full ancillary services and amenities (retail, restaurants, etc.) Land sales, build-to-suits, long term lease Development partnership
3. Dallas Logistics Hub (DLH) Dallas, Texas Nathan Orbin nathan.orbin@am.jll.com +1 214 438 6217 Dallas Logistics Hub, one of the most sophisticated inland ports in North America, is located 12 miles south of downtown Dallas. This 2,000 acre master-planned logistics park is adjacent to three major highways (I-45, I-20, and I-35), mainline rail, intermodal facilities and a regional airport. The Dallas Logistics Hub is the prime location to give your company a competitive advantage by reducing transportation costs and improving the supply chain process. Situated around three major highways, Union Pacific s Dallas Intermodal Terminal, proposed BNSF Intermodal Terminal and Lancaster Regional Airport Over 2,000 acres of developable land Union Pacific Dallas Intermodal Terminal Proposed BNSF Intermodal Terminal Foreign Trade Zone, EB-5 visa, local economic incentives Entitled and development ready Build-to-suits Land sales (5 acres to 2,000 acres) Development partnership, joint venture 4. RiverPort Business Park Hardeeville, South Carolina John Carver john.carver@am.jll.com +1 213 239 6336 RiverPort represents the future of port-centric development in the U.S. providing near-dock infrastructure on a grand scale. The project is designed to provide a scalable development capable of creating new synergies and cost efficiencies for logistics, manufacturing and other businesses seeking entry or expansion within one of the strongest port systems in the country. The RiverPort Business Park is part of a 5,000 acre mixed use development aimed at providing a full spectrum of commercial, industrial, residential and support services. Less than seven miles from the port terminals of Savannah, GA 1,700 acres Rail serviced by CSX Highway 17 connectivity to port terminals Capacity for up to 15 million square feet of industrial, logistics, and mixed-use space Build-to-suits Land sales Ground leases 5. CenterPoint Intermodal Center Houston, Texas John Talhelm john.talhelm@am.jll.com +1 713 888 4058 CenterPoint s development, CenterPoint Intermodal Center (CIC - Houston) is a state of the art inland port providing full intermodal capabilities for both the import an export of goods to the United States and Mexico. Located on the future NAFTA Highway, southwest of Houston, CIC - Houston will provide over 7.5 million square feet of Class A warehouse and distribution facilities applicable to a wide range of end users. KCS rail provides direct connection to Houston from the Port of Lazaro Cardenas Adjacent to the Kansas City Southern Intermodal Terminal on US-59/69 (future NAFTA Corridor) Site designated Foreign Trade Zone 689 acres of available land 7.5+ million square feet of warehouse space upon full build-out Build-to-suits for lease Build-to-suit for sale Land sales 6. Florida Inland Port (FIP) St. Lucie County, Florida Steven Medwin steven.medwin@am.jll.com +1 305 704 1331 The FIP (formerly known as Treasure Coast Intermodal Campus) offers up to 4,000 acres of rail-oriented, industrial land. The FIP is planned as an integrated logistics center, meaning it will emphasize multi-modal access (rail and highway) around which clusters of related businesses, such as warehousing, distribution centers and assembly plants will be developed. Activities relating to transportation, logistics and the distribution of goods for regional, national and international transit will be carried out on property. FIP is Florida s inland port, connected via FEC Railways to the Port of Miami and Port Everglades (Fort Lauderdale), with direct access to I-95, the Florida Turnpike and all major highways 500 acre intermodal facility Up to 4,000 acres of distribution and industrial land Mixed use, commercial, retail and support development For developers/investors Bulk land sales Development partnership
Logistics and industrial services Make no mistake: From manufacturing plants to around-the-clock distribution centers, industrial real estate is at the backbone of the global economy. Financial and competitive pressures squeeze your business like never before. Your industrial property whether leased or owned must deliver maximum flexibility and efficiency. Our logistics and industrial professionals understand your portfolio needs and offer innovative, profitable strategies for: Supply chain optimization Site selection Sales/acquisition Leasing/financing Construction /property/facility management Each day our experts solve the challenges that impact your industrial real estate decisions. They apply our accumulated, road-tested best practices to overcome such barriers as: Skyrocketing energy, transportation, and labor costs Heightened security needs Tough new environmental requirements Profound changes in global supply chains Because of our depth of wide-ranging, in-house talent, we can quickly assemble and continually right-size the optimum team for any of your needs. Regardless of the scope of the assignment, you ll have a single point of contact as your trusted advisor, charged with managing all service delivery while driving the measurable results you want. Contact information Craig S. Meyer, SIOR International Director Head of Logistics & Industrial Services Americas +1 424 294 3460 craig.meyer@am.jll.com For the future of port development, look inland Scan this QR code to find out more on the importance of inland ports. www.us.joneslanglasalle.com/industrial 2012 Jones Lang LaSalle IP, Inc. All rights reserved. All information containd herein is from sources deemed reliable; however, no representation or warranty is made to the accuracy thereolf.