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The Kearney Cos. Leases NOLA Warehouse

[ July 12, 2024   //   Gary G Burrows ]

The Port of New Orleans said it has purchased the 210,000 square foot warehouse located at 5200 Coffee Drive in the Uptown section of its Port of New Orleans Terminal.
The acquisition is supported by a new, 10-year lease with The Kearney Cos. Inc., a subsidiary of Precision Terminal Logistics.
The port authority said it paid US$6.6 million for the facility from Access World, a Switzerland-based logistics company that has been trying to sell the property for several years.
As part of the lease, The Kearney Cos. has committed to making capital investments through Port NOLA-approved facility upfits and improvements, emphasizing a shared commitment to servicing customer needs well into the future, supporting cargo growth and fostering continued job creation in the region.
Calling the agreement “a pivotal moment for our port and the surrounding community,“ Ronald Wendel, acting president and CEO of the Port of New Orleans and acting CEO of the New Orleans Public Belt Railroad, said the facility “will enhance our operational capacity and support economic growth by creating new jobs and opportunities. We appreciate the continued partnership with The Kearney Companies and PTL and look forward to long-term growth.”
The Kearney Cos. has operated at Port NOLA since 1996, and the New Orleans-based 3PL has reached 3,000 carloads per year and are continuing to grow. The company also handles nearly 20,000 containers annually and supports 65 full-time employees.
“We have been working with the Port of New Orleans and the previous owner of the warehouse for more than years on a lease that enables the port’s purchase of the facility,” said David Kearney, president of The Kearney Cos. “Further, we have developed a transition plan that ensures the facility continues to play a strategic role in supporting international supply chains through the New Orleans Port and Rail gateway.
“Through mutual trust displayed by all parties in this transaction, we were able to work through several long-term, difficult maintenance items, and future capital investments that are needed to ensure the future viability of this specific warehouse facility. We look forward to supporting existing business like the CME and LME metals customers that have historically utilized this facility, as well as attracting other new shippers for this location.”

Precision Terminal Logistics, formed in September 2019 by Anacostia Rail Holdings Co. and Brown Brothers Harriman Capital Partners Opportunity Fund LP, operates 21 rail-served transload terminals in 15 states. PTL serves customers with an array of material handling service capabilities including the safe and efficient transloading commodities that include liquid and dry bulk products and dimensional cargo from rail and truck.

Tags: Port of New Orleans, The Kearney Cos. Inc