PORT OF VIRGINIA

The Port of Virginia provides a location where more than two-thirds of the U.S. consumer base can be reached by a two-day drive.

Capital Investments

The proposed $1.3 billion Craney Island expansion will boost cargo handling capabilities to 2.5 million TEUs.

The Midtown Tunnel expansion, MLK Freeway expansion.

Both CSX’s National Gateway and Norfolk Sothern’s Heartland Corridor have completed over $1 billion in rail upgrades, reducing bottle necks and added double-stack capacities.

Privatization bids from APM Terminals and JPMorgan Chase were rejected by The Virginia Port Authority Board of Directors, who favored restructuring the current operator, Virginia International Terminals. Alinda Capital Partners acquired the APM Terminal complex in August of 2014 totaling $500 million.


Market conditions

Class A product continues to outperform based on better operating profile and building capability, and has commanded the lion’s share of demand in the Hampton Roads market.

Several sites are ‘shovel ready’ and can deliver new facilities within months if the tenant demand is present.

Vacancy in the big-box inventory (buildings in excess of 250,000 square feet) within 15 miles of the port remained relatively flat over the past four quarters, hovering slightly above and below 6.0 percent.


Development

One development project commenced in the first quarter of 2014 with Armada Hoffler breaking ground on a 154,000-square-foot, build-to-suit in Chesapeake. Oceaneering International will consolidate operations to this facility upon completion next year and has signed a 15-year lease.

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Port Vital Facts: