Forsite Development Corporate Overview
Forsite Development, Inc. was founded by Tom McKittrick in 2004 for the purpose of acquiring and redeveloping corporate surplus industrial facilities. To date, Forsite has acquired and redeveloped over 6.8 million SF of these facilities across 3000 acres. These projects have attracted or retained approximately 960 jobs to the communities where they are located. Forsite continues to capitalize market opportunities by using creative deal structures not commonly used by traditional real estate firms.
Value Added Solutions
Forsite seeks to acquire “value add” facilities that are classified as properties that are determined to be undervalued, underperforming, or need to be repositioned. We apply disciplined hands-on asset and property management to create value with these assets.
These buildings are often purchased from companies that are scaling back operations or moving production overseas, or institutional investors who are divesting themselves of non-core assets. Forsite is focused on adding value by redeveloping these facilities and utilizing the existing infrastructure to create new projects or attracting companies for relocation or expansion. Forsite’s success has been fueled by its focus on establishing creative deal structures and deriving value from non-traditional revenue streams.
What We Buy
Forsite is focused on purchasing existing industrial buildings, complexes, or portfolios generally with the following criteria:
We are interested in acquiring any value add industrial building that is at least 150,000 SF.
Heavy Manufacturing Plants (including coal fired power plants)
We are especially focused on acquiring large industrial campuses with significant existing infrastructure including heavy power interconnects, deep water port access, waste-water treatment, steam generation, rail access, onsite power generation, and additional acreage.
• Larger plants of at least 200 acres
• Active permits are a major advantage (Title V, NPDES, and water intake)
• Examples include; paper mills, coal fired power plants, plastics/resins manufacturing, pharma manufacturing, chemical plants and the like
Environmental Liability Risk Transfer Transactions
• Large sites with legacy environmental contamination
• Typically heavy industrial and may (or may not) fit the EIP criteria outlined above
• Minimum liability amount should be at least $4mm (hopefully much larger)
• Shuttered coal fired power plants
• Bankruptcy cases that include one or multiple legacy sites.
• Stranded contaminated sites where no Responsible Party exists.
Forsite’s extensive knowledge of the Southeast industrial markets allows its management team to underwrite all aspects of an acquisition and manage risk factors accordingly. Exceptional in-house leasing, construction, environmental remediation and property management expertise form a cohesive due diligence team driven to uncover and manage all risk factors.
Sale / Leasebacks
Sale / leasebacks have gained popularity with companies looking to recycle capital from their real estate in order to fund their day-to-day operations and/or expand market share.
Forsite will purchase well-located functional buildings with the current owner/occupier willing to sell their building while signing a long-term lease to remain in the space.
Environmental Liability Risk Transfer
Dormant industrial facilities and complexes often have legacy environmental contamination from their previous use. Many times these sites have multiple “responsible parties” further complicating a sites divesture. While many investors shy away from these properties, Forsite believes great potential can be achieved by fully assessing the environmental situation, devising an Environmental Risk Transfer mechanism and an appropriate redevelopment plan. This approach can fully remove the liabilities associated with these sites, free up capital for their owners and placing these properties back to productive use.
Eco-Industrial Park (EIP)
Forsite has recognized that the emergence of the “Clean Energy Economy” has created a unique opportunity to acquire large dormant industrial tracts and redevelop them into Eco Industrial Parks. Specifically we look to acquire large industrial complexes and utilize the existing infrastructure to create a hub for attracting renewable energy, alternative fuel and recycling projects as well as traditional industrial uses. Additionally we look to create Eco Assets on these sites implementing conservation easements, steam/wetland mitigation projects, urban forestry and others.
The genesis of this highly focused niche has been created and honed by Forsite’s experience in developing ReVenture Park™ located in Charlotte, NC. ReVenture is a 667-acre former textile dye manufacturing plant that was listed as a Federal Superfund Site. ReVenture is one of the largest, multifaceted Eco-Industrial Park projects of its kind in the US. The project has received significant recognition as a model for environmentally responsible redevelopment of contaminated sites. In 2014 ReVenture Park was awarded the EPA Region 4’s Excellence in Site Reuse Award
Forsite’s executives have extensive experience in developing office industrial facilities throughout the US. Forsite’s creative and flexible approach with build-to-suits (BTS) ensures clients a cost effective facility with aggressive lease or purchase terms. Recent BTS projects include a customer service center for Kennametal, Continental Tires North American Headquarters and a 150,000 SF expansion for Pactiv.