The Port of Centralia commissioners on Wednesday unanimously approved a purchase and sale agreement with Logistics Property Company (LPC) for approximately 38 acres in the port’s Park I development.
The project is expected to bring 761 new jobs to the community, according to a port news release.
LPC, founded in 2018, is an industrial real estate company. With headquarters in Chicago, the company’s 70 employees are located in eight regional offices, including Bellevue. According to its website, LPC is “focused on the acquisition, development and management of modern logistics properties,” with a $3 billion portfolio currently holding 52 buildings equaling 23 million square feet of developed industrial space.
Park I was the Port of Centralia’s first industrial park developed after its founding in 1986. The park’s first tenant was Rogers Machinery, which has operated on Galvin Road since 1990, and it has grown over the decades to comprise 24 tenants including Cascade Community Health, Dick’s Brewing Company, and United Natural Foods, Inc.
“Park I has been a foundation of the port’s mission since 1986, and this agreement continues that legacy,” Commissioner Julie Shaffley said in the release. “Partnering with a company of this size and reputation shows that Centralia is well-positioned for continued investment and opportunity. This sale represents new opportunities for families, businesses and workers in Lewis County. Logistics Property Company’s presence here will bring lasting benefits to our community.”
The port held a public hearing on this proposed sale in April, and commissioners then authorized staff and the port’s attorney to negotiate a purchase and sale agreement. Kyle Heaton, port executive director, said the three-year negotiation was “hard and spirited.”
“This is not the finish line. This is the starting line,” he continued.
The port will sell the 38 acres initially at $5.25 per square foot. Heaton said there is a mitigation agreement for parcels north of the Galvin Road bridge and down in the floodplain, but the parcels are not part of the purchase and sale agreement as LPC was granted a license to enhance wetlands for mitigation purposes.
“It’s a wonderful spot to do mitigation. It’s at their own expense,” Heaton told the commissioners. “They have to indemnify you and update all necessary permits.”
Additionally, LPC will construct a section of Gallagher Road and extend all utilities at its expense. The road will be a private road retained by the Port of Centralia, with no public funds being expended toward that, Heaton said.
