New Business Development

[LikeHamilton]

From Forge & Foster

There has been an immense amount of action this week! 

In Hamilton, we've seen some of the highest volume of the year. The industrial commercial investment land and retail asset classes have led the way.

Yes, after several consecutive weeks, retail seems to be firmly back in the market after a very mild beginning to the year.

Hamilton witnessed its largest transaction yet this year with Cachet Developments' purchase of almost 90 acres of residential land in Binbrook for $80 million ($890,000 per acre).

[Innsertnamehere]

That purchase is for lands with an active plan of subdivision application so it’s pretty high value as the entitlement process is presumably almost done.

Another large land sale in the AEGD occurred this week as well on Glancaster road. Developers are buying up land in the area like mad, I suspect we’ll see a total flood of industrial activity up there in the next decade.

[Innsertnamehere]

Not the AEGD specifically, but worth noting. Do we have a general industrial area thread? If not it might be worth creating one as there will be quite a few large industrial plazas going up in the next few years south of the city.

A second application in 2022 is in for the Upper Red Hill Business Park for a new warehouse, this time at 5775 Twenty Road East, beside the Canada Bread Company plant. Given the site area involved, I imagine it will be quite large, likely in the 500k sf range.

This follows an application a few weeks ago at 399 Glover Road for a similar development, just a smaller site area (like 300k sf range).

An additional application was filed late in 2021 at 863 Nebo Rd for a "58,641.6 square metre (~600k sf) industrial building with 345 surface parking spaces and 175 loading spaces.". This is directly south of the Canada Bread Company plant, and accomodates the extension of the Upper Red Hill Valley Parkway south to Dickenson Rd.

There is also a "Industrial building with GFA of 28,410.17m2 (~300k sf) for warehouse space and 278.71m2 for office space" currently under construction at 399 Glover Rd which was filed earlier in 2021.

The Upper Red Hill Valley Business Park will go from 4 major industrial buildings to 8 in the next year or two by the looks of it. This is in addition to the flood of site plan applications coming in for the AEGD itself for new, massive industrial buildings.

I believe Panattoni is starting construction on their next round of industrial buildings in the AEGD right now as well, on the north side of Dickenson. I haven't had a chance to drive by and see if they have actually started yet.

[ScreamingViking]

Originally Posted by Innsertnamehere

Do we have a general industrial area thread? If not it might be worth creating one as there will be quite a few large industrial plazas going up in the next few years south of the city.

Great to see all that stuff coming. It's taken a while to get there, but if the city hadn't set aside the employment land (some of it back in the 1980s and 1990s) it would probably be residential today or have pressure to become that.

We don't have an industrial land thread that I know of. The New Business Development discussion has included some of that though.

[NortheastWind]

Originally Posted by ScreamingViking

Great to see all that stuff coming. It's taken a while to get there, but if the city hadn't set aside the employment land (some of it back in the 1980s and 1990s) it would probably be residential today or have pressure to become that.

The pressure by residential developers was definitely there. I use to work for TradePort, operators of YHM. There were many applications that passed by my desk for reviewing residential development. The airport is required to have input for development near the airport, as per the airport zoning regulations. We made our comments based on current and projected aircraft noise contours around the flight path. We more often than not said no to residential development. This is why the airport doesn't allow residential developments between Twenty Rd. and Dickenson Rd.

[ScreamingViking]

Originally Posted by NortheastWind

We made our comments based on current and projected aircraft noise contours around the flight path. We more often than not said no to residential development. This is why the airport doesn't allow residential developments between Twenty Rd. and Dickenson Rd.

The first thing new residents would complain about would be the aircraft noise. Despite knowing they were buying a house... NEAR AN AIRPORT

It's amazing how much quieter jets are today though. When I was a kid we lived close to Queenston Rd. but near the flightpath from runway 06-24, which was the longest one back then (1970s). Nordair was flying passenger planes in and out, and the sound was intense, even though we were more than 12 km away from the end of the runway! Not so these days -- have seen many flights close to the stadium while at Ticat games, and they barely make a whisper by comparison.

EDIT: I seem to recall them flying close overhead to the house, lower than they do today. Could be an exaggerated childhood memory though, we moved away from there when I was not yet 5!

[SteelTown]

U.S. tech company focused on ‘trust verification’ expanding to Hamilton
https://12ft.io/proxy?q=https%3A%2F%...-hamilton.html

A New York City-based tech company specializing in online proctoring software and “trust verification” will soon call Hamilton its second home as it expands into Canada.

Verificient Technologies Inc. made the announcement Tuesday at the Collision tech conference hosted in Toronto.

....

Kumar noted that the company specifically chose Hamilton due to its proximity to the border as well as the access to “future talent,” while describing the city as a “centre of innovation.”

In a statement, City of Hamilton director of economic development Norm Schleehahn said the city is “excited” to welcome the company and that their expansion move to the city “raises our profile in the tech investment community.”

[StEC]

What an awesome vote of confidence in our city! Would love to see a bunch of tech firms open up shop in the city especially in the downtown core.

[Innsertnamehere]

how many people is it really going to be though? 5 people in a tiny outpost office isn't exactly notable. 100 people? maybe a bit more notable.

[TheRitsman]

Originally Posted by Innsertnamehere

how many people is it really going to be though? 5 people in a tiny outpost office isn't exactly notable. 100 people? maybe a bit more notable.

Also where in the city matters too.

[Innsertnamehere]

It's like all the hoopla about Ackroo a year or two ago and they set up a small office in a Stoney Creek business park off the QEW beside Costco.. like, not a big deal at all, but Hamilton just has so few tech companies that any one is notable I guess.

[Markus83]

Proctortrack Suite Designed
for Canadian Institutions


https://www.proctortrack.com/canada/

[drpgq]

Ikea buys 65 acres of land in Hamilton for $82 million

https://www.thespec.com/business/202...over-road.html

Ikea has made an $82-million land purchase in Hamilton.
Property records show the popular Swedish ready-to-assemble furniture company has purchased 65 acres of land in Glanbrook.
Transferred on July 18, Ikea acquired the multimillion-dollar property at 212 Glover Rd., near Twenty Road East, from Paletta International Corporation.

It’s unclear what the newly purchased land will be used for. The Spectator has reached out to Ikea for comment.
Currently, the nearest Ikea store available to Hamiltonians is on Plains Road East in Burlington.

[Innsertnamehere]

Given the industrial location and location off of major highways, I assume this is for a distribution centre and not a new store.

Still, a new store near the Oakville / Mississauga border and one in Hamilton to replace the undersized Burlington store would likely be a smart move for IKEA, but I’m just not sold this is a location for a new store.

Even if it is a new distribution centre, the sudden boom of industrial land purchases and site plan applications is nothing but good news for the city and its tax base.

[bigguy1231]

It will probably be their new Canadian head office as well as warehouse. The current head office is at the Burlington store. They were supposed to build the new head office in Burlington a few years ago at Walkers and North Service but that was cancelled.

[TheRitsman]

Originally Posted by bigguy1231

It will probably be their new Canadian head office as well as warehouse. The current head office is at the Burlington store. They were supposed to build the new head office in Burlington a few years ago at Walkers and North Service but that was cancelled.

Because Burlington was being difficult, so they decided Hamilton. Which is great news for Hamilton.

[ScreamingViking]

Originally Posted by Innsertnamehere

Given the industrial location and location off of major highways, I assume this is for a distribution centre and not a new store.

Still, a new store near the Oakville / Mississauga border and one in Hamilton to replace the undersized Burlington store would likely be a smart move for IKEA, but I’m just not sold this is a location for a new store.

Even if it is a new distribution centre, the sudden boom of industrial land purchases and site plan applications is nothing but good news for the city and its tax base.

I feel the same way.

As Niagara rebounds into a growth phase, and given that Burlington is basically built out and Oakville moving toward that (intensification possible for both, but that will get a rough ride) but Milton poised to handle Halton's expansion, replacing the single store with two makes more sense. If one is to be in Hamilton, a location in or near the vast retail realms at the west or east ends of the Linc or along the QEW in Stoney Creek would probably work. Maybe they'd consider a pickup location in the short term with expansion potential if desired.

[ScreamingViking]

Originally Posted by TheRitsman

Because Burlington was being difficult, so they decided Hamilton. Which is great news for Hamilton.

I seem to recall a lot of angst about traffic impacts around the Walker's site. Can't recall if that was the city, local residents and businesses, or the city anticipating the taxpayer backlash.

[King&James]

Hamilton Economic Development had inser in the Globe and Mail, link attached

https://perspective.ca/perspective-h...and-mail-2023/

[ScreamingViking]

https://www.hopaports.ca/hopa-ports-...ng-waterfront/

HOPA Ports signs head lease with Max Aicher North America for industrial lands on Hamilton’s working waterfront

December 8, 2022

• Hamilton-Oshawa Port Authority completes head lease with Max Aicher North America
• Agreement permits extensive investment in supply chain capacity with the development of 60-acre, multimodal parcel at Pier 18 on Hamilton Harbour
• The site is suitable to be used for flexible storage of steel, forest products and manufacturing components, warehousing and rail transloading of materials for the construction and manufacturing sectors

Hamilton, Ontario, Canada – HOPA Ports and Max Aicher North America (MANA) are pleased to announce the completion of a head lease which will permit more extensive investment and development on MANA’s Hamilton bayfront property.

HOPA and MANA have been working together since 2020 on various industrial uses for a 60-acre parcel at Pier 18 on Hamilton Harbour. The site is located in the northeast corner of pier 18, within Hamilton’s Bayfront industrial area, and is served by marine, rail and road transportation. The property includes open space for outdoor storage, and more than eight acres of warehouse buildings.

HOPA has been deploying the space for a range of industrial projects, including commodity storage and logistics, as well as the assembly and staging of the Enwave deep-water cooling pipe.

Under the new agreement, MANA continues to retain ownership of the property, while HOPA’s new head lease will enable the Port Authority, via its subsidiary, to expand the necessary long-term investments to attract more high-value industrial activity. Specific investments will be driven by user requirements, and HOPA sees the site’s multimodal assets as being key to its value. “Modern industrial users are looking for space with access to multiple modes of transportation, within the Greater Toronto-Hamilton market,” said Ian Hamilton, President & CEO of HOPA Ports. “It’s a magic combination that is extremely rare in southern Ontario, and we’re lucky to have it here in Hamilton, ready to go.”

HOPA Ports has an established track record of developing marine-served industrial spaces. It is a segment of the commercial-industrial real estate market where HOPA Ports offers a distinct skill-set. Over the past decade, HOPA Ports has attracted more than $350 million in investment in the ports of Hamilton and Oshawa.

Uses of the site include flexible storage of steel and manufacturing components, warehousing and rail transloading of materials for the construction and manufacturing sectors, value-add processing, and other logistics uses essential to a responsive industrial supply chain. “Further investment in this site can help provide the space that is needed to support modern manufacturing in Ontario,” said MANA CEO, Walter Sommerer. “Through our partnership with HOPA, MANA is reinforcing its commitment to Hamilton and the local economy.”

This alliance between MANA and HOPA complements MANA’s existing Hamilton operations, where the company produces specialized, high-strength reinforcement steel used in high-rise, commercial and industrial projects across North America. Among its high-profile projects is the new Gordie Howe bridge linking Windsor and Detroit. MANA has been named one of Hamilton’s 40 fastest-growing companies.