Atlanta-based Conklin Metal Industries, a distributor of metal parts for the construction industry, paid $3.5 million on Dec. 28 to buy a warehouse in Orlando, more than doubling the size of a Sanford building the company has leased for 15 years.
"Our plan is to relocate the Sanford facility, a space we've outgrown, and wanted to also be closer to Orlando, which is more conducive to distribution," Robbie Thompson, Conklin's president and CEO, told GrowthSpotter last week. "We'll need to make upgrades to (the new property) in terms of power, offices and truck access. Close to $500,000 could be invested."
Located at 2800 Pennington Road, the single-story, 68,400-square-foot warehouse was built in 1973. It's based in northwest Orlando, near the intersection of N. John Young Parkway and Silver Star Road.
Conklin's 30,000-square-foot Sanford warehouse is one of 10 the company operates in the southeast United States.
The newly acquired warehouse parcel on Pennington Road currently has tenants that Conklin Metal has inherited, which haven't been informed they may be displaced in the coming year.
Thompson said Conklin Metal may use up to 50,000 square feet of the building's space, leaving room for some existing tenants to stay. Plans to relocate in 2016 aren't well defined yet, he said.
Conklin Metal will look to hire a local civil engineer and general contractor later this year to help guide interior renovation work on the property, Thompson said.
The company took out a $2.975 million loan from SunTrust Bank for the acquisition.
The warehouse property was sold by an affiliate of Orlando-based Williams Company.