In one of the largest industrial property sales in recent memory, the partners behind the successful transformation of a Seneca Street warehouse into the Larkin Center of Commerce have acquired the nearby Colad Group LLC building on Exchange Street for nearly $4.1 million.
The group, led by James Cornell and Gordon Reger, bought the 77,000-square-foot single-story warehouse building at 801 Exchange St. Friday, paying $4.095 million to Colad.
Reger referred questions to Cornell, the managing partner of the group, who could not be reached for comment Friday afternoon.
The sprawling building is located on an 8.5-acre property across from the Larkin at Exchange Building. Constructed in 1996, before the success of the Larkin and Larkin Center of Commerce buildings turned the Larkinville area into a thriving commercial zone, it’s now a prime site in what is a growing retail, residential and office neighborhood.
“It’s probably one of the most significant industrial transactions in Western New York history,” said John Ticco III of Pyramid Brokerage Co., who handled the marketing and sale of the property for Colad along with Pyramid colleague Richard Schechter. “It’s a very accessible building, with good ceiling heights, dock and grade-level access, and an abundance of parking.”
Even more, though, the building itself takes up only two acres, leaving six acres of parking and greenspace on both sides that also can be redeveloped. “A lot of the value is in the vacant land,” Ticco said.
The building had been on the market for well over a year, and received at least three offers, including at least two for more than $3 million. It was listed for $3.95 million. The final sale price exceeded $53 per square foot. “It affirms the strengths of specific Western New York submarkets, including Larkinville,” Schechter said.
For its part, Colad will be relocating diagonally to the Larkin Center of Commerce. The company, which is owned by a group out of Baltimore, is a leading designer and manufacturer of custom binders, boxes, packaging, sales kits, folders, CD sleeves, mailers, printed tabs, dividers and printed presentation packaging. It was started in 1947 as a college advertising company that made paper book covers for text books.