KENTWOOD — Midwest Air Filter Inc. recently consolidated its Lansing and Grand Rapids locations into a 60,000-square-foot facility in Kentwood.
The air filtration company’s new location has been at 4156 Danvers Court SE in Kentwood since early October. Midwest Air Filter will continue to operate its Kalamazoo/Portage branch located at 5110 S. Sprinkle Road, according to a statement on the company’s website.
“Through this strategic move, we will gain better operational efficiencies that will allow us to operate more effectively,” Midwest Air Filter President Marcie Down Shoham said in a statement.
The COVID-19 pandemic has put a new focus on indoor air quality, and a growing number of businesses and office buildings have upgraded their air filtration systems as an extra precaution.
Midwest Air Filter’s consolidated facility will allow for potential future expansion, according to company officials. Midwest Air Filter will lease two suites in its new building until a potential future expansion.
Glamse LLC, which is registered to Down Shoham, acquired the property in a $2.3 million arm’s length deal on June 17, according to Kentwood property records.
The building size needed for the company was difficult to find in a tight industrial commercial real estate market, according to Advantage Commercial Real Estate Services LLC Senior Vice President and Industrial Adviser Tim Van Noord, who represented the buyer.
“This new location is centrally located in Grand Rapids and is very accessible for every customer of Midwest Air Filter,” Van Noord said in a statement. “Their team is fantastic and I am excited to see how this consolidation will better serve the community.”
Industrial commercial real estate submarkets are experiencing “record high demand,” according to Advantage Commercial Real Estate Services’ third quarter market update report. The industrial sector continues to be the hottest among commercial real estate in markets across the country, including in West Michigan.
Weighted average rental rates currently sit at $4.79 per square foot, a 13-percent increase from last year that reflects higher land and construction costs as well as low inventory, according to the market report.