Denver firm buying Northrop Grumman site in Bethpage for $51.2M | Long Island Business News

Prologis, a Denver-based developer of logistics amenities, is in contract to purchase property owned by Northrop Grumman for $51.2 million. 

The customer plans to construct a 239,070-square-foot warehouse and distribution complicated on the 17-acre Bethpage web site, which is at the moment occupied by two workplace buildings totaling 218,000 sq. ft and a ten,893-square-foot former steam plant that might be demolished. 

Northrop Grumman, which as soon as employed 27,000 individuals on Lengthy Island, has been shrinking its as soon as sprawling footprint in Bethpage for the final couple of a long time. Most of the West Falls Church, Va.-based aerospace agency’s former property right here has been redeveloped for warehousing and distribution amenities and different gentle manufacturing makes use of. 

In Nov. 2021, the corporate employed JLL to market this newest piece of its property, the majority of which is situated at 600 Grumman Street West. 

The sale value of about $3 million an acre matches the high-water mark for latest gross sales of business property on Lengthy Island, together with the 15 acres bought for $45 million final summer season by Brookfield Asset Administration on New South Street in Hicksville, situated a stone’s throw from the Bethpage web site that Northrop Grumman is promoting. 

Prologis has utilized to the Nassau County Industrial Growth Company for financial incentives to help in its deliberate $106 million Bethpage redevelopment mission. The corporate has requested the IDA for a 20-year payment-in-lieu-of-taxes settlement, in addition to gross sales and mortgage tax exemptions. Legal professional Dan Deegan of Forchelli Deegan Terrana is representing Prologis in its request for advantages, in keeping with the IDA software. 

Prologis nonetheless must safe approvals from the City of Oyster Bay for the Bethpage mission, for which the developer hopes to start building in Might 2023 and expects to finish within the spring of 2024. 

The JLL staff representing Northrop Grumman within the sale contains Jose Cruz, Marc Duval, Andrew Scandalios and Jordan Avanzato. The brokers declined to touch upon the pending deal.