ProLogis and Browning Announce New Build-to-Suit Agreement With LaCrosse Footwear Near Indianapolis
- New Facility Will Total 380,000 Square Feet and Provide a Strategic Location to Support LaCrosse's National Supply Chain -
INDIANAPOLIS, June 19 /PRNewswire-FirstCall/ -- ProLogis (NYSE: PLD), the world's largest owner, manager and developer of distribution facilities, and Browning Investments, Inc., an Indianapolis-based developer of commercial real estate, announced today that their joint venture has signed a new build-to-suit lease agreement with LaCrosse Footwear, Inc. (Nasdaq: BOOT), a leading developer and marketer of branded, premium and innovative footwear for work and outdoor users.
The ProLogis and Browning joint venture will develop a 380,000-square-foot distribution center for LaCrosse at Park 267, approximately 20 miles north of Indianapolis in Whitestown, Indiana. To improve operating efficiencies, LaCrosse will relocate and consolidate its two existing distribution centers located in La Crosse, Wisconsin. LaCrosse will utilize the space as a national distribution center, serving customers primarily in the Midwest and along the East Coast.
"The new state-of-the art distribution center and location will enable us to better serve our customers and execute our long-term growth strategies," said David P. Carlson, executive vice president and chief financial officer of LaCrosse Footwear, Inc. "Approximately 70 percent of LaCrosse's domestic customers can be reached within one day from Indianapolis."
The new location in Indiana will allow LaCrosse to take advantage of economic incentives from both state and local governments. The Indiana Economic Development Corporation will provide up to $306,500 in tax credits and training grants based on planned job creation at the new location, and the Whitestown Town Council will provide a property tax abatement at the request of the Boone County Economic Development Corporation and the Indy Partnership.
The new facility will incorporate a number of sustainable design and construction techniques including extensive use of recycled and locally sourced construction materials and the installation of an energy-efficient fluorescent lighting system. This is LaCrosse's second lease with ProLogis. It currently operates its company headquarters and a 145,000-square-foot distribution facility in a ProLogis building at Southshore Corporate Park in Portland, Oregon.
"We are excited to extend the relationship we started with LaCrosse in Portland and continue it into Indianapolis," said Doug Kiersey, ProLogis senior vice president and Midwest regional director. "The company is one of the world's most recognized brands of work and outdoor footwear and a valued customer. We look forward to serving their distribution needs at this new location."
Park 267 in Whitestown is owned through a joint venture between ProLogis and Browning Investments, with Browning undertaking construction activities in the park. The distribution park is located on a 54-acre site near the intersection of Interstate 65 and State Route 267, with direct access to other national highway systems. Subaru occupies a second facility at the park, totaling more than 500,000 square feet.
"We welcome LaCrosse to Park 267 and to the Indianapolis region," said John Hirschman, director of development for Browning. "This is a significant transaction for Browning, ProLogis, LaCrosse and central Indiana."
Through their joint venture, ProLogis and Browning have together developed more than 5 million square feet of industrial space in the Indianapolis region for customers such as Subaru, OH Logistics, Belkin Corp., Brightpoint Inc., Electrolux and J.C. Penny. ProLogis is one of the largest providers of industrial space in Indianapolis, with more than 11.3 million square feet owned, managed or under development.
Founded in 1977, Browning remains one of the premier development companies in Indianapolis and is engaged in the acquisition, development, construction, leasing, management, ownership and disposition of investment real estate properties, primarily in the Indianapolis metropolitan area. In total, Browning has developed and constructed more than 14 million square feet of space. To learn more, visit: http://www.browninginvestments.com.
About LaCrosse Footwear, Inc.
LaCrosse Footwear, Inc. is a leading developer and marketer of branded, premium and innovative footwear for expert work and outdoor users. The Company's trusted Danner(R) and LaCrosse(R) brands are distributed domestically through a nationwide network of specialty retailers and distributors, and internationally through distributors and retailers in Asia, Europe and Canada. Work customers include people in law enforcement, agriculture, firefighting, construction, industry, military services and other occupations that need high-performance and protective footwear as a critical tool for the job. Outdoor customers include people active in hunting, outdoor cross training, hiking and other outdoor recreational activities. For more information about LaCrosse Footwear products, please visit our Internet websites at http://www.lacrossefootwear.com and http://www.danner.com. For additional investor information, see our corporate Web site at http://www.lacrossefootwearinc.com.
ProLogis is the world's largest owner, manager and developer of distribution facilities, with operations in 121 markets across North America, Europe and Asia. The company has $38.8 billion of assets owned, managed and under development, comprising 526.3 million square feet (48.9 million square meters) in 2,817 properties as of March 31, 2008. ProLogis' customers include manufacturers, retailers, transportation companies, third-party logistics providers and other enterprises with large-scale distribution needs. Headquartered in Denver, Colorado, ProLogis employs over 1,500 people worldwide. For additional information about the company, go to http://www.prologis.com.
Released June 19, 2008