GRAND RAPIDS — Automotive supplier Spectrum Industries Inc. will expand into a recently-sold industrial building on the south side of Grand Rapids.
The Grand Rapids-based supplier of coatings for automotive components will take half of the more than 95,000-square foot industrial building located at 5265 Kellogg Woods Dr. SE, near the intersection of Division Avenue and 52nd Street, according to a statement.
The building was acquired by an unnamed investor on August 12.
Executives from the Grand Rapids office of commercial brokerage Colliers International Group Inc. represented both sides of the deal.
John Kuiper, executive vice president with Colliers International, represented the unnamed buyer as well as Spectrum Industries, according to the statement.
Colliers International industrial advisors Matt Abraham and Trent Wieringa represented the building’s seller, Grand Rapids-based Scranton Enterprises LLC, according to Kent County records.
Terms of the deal were not disclosed and the transaction has not yet been entered into Kent County public records.
“Spectrum Industries was looking for a building to expand our manufacturing and warehouse, and Colliers West Michigan did a great job helping us quickly find the right location,” said Spectrum Industries president Kevin Bassett in a statement.
The company will keep operating in its existing space, near the corner of Wealthy Street and Division Avenue, according to Olivia Adams, a spokesperson for Colliers.
Brokers involved in the deal say the deal serves as an example of a lack of available space for industrial and manufacturing purposes.
“Supply is low across West Michigan’s industrial real estate market, so clients and users are ready to jump when the opportunities exist,” said Colliers’ Wieringa in a statement. “This transaction is an example of how tight the West Michigan industrial market truly is – especially with the sale occurring the day before the tenant’s lease ended.”
According to research from Colliers International, the current vacancy rate for industrial space in the market hovers around six percent.