JLL Capital Markets has arranged a $75 million development facility for Rechler Business District, a master-planned industrial park in Medford, NY, in Suffolk County on Long Island. The financing was secured on behalf of Rechler Equity Partners, with AllianceBernstein L.P. providing the capital. JLL’s senior managing director Peter Rotchford and managing director Tyler Peck led the assignment for the borrower.
The Rechler Business District includes multiple industrial components at different stages of the business plan. The collateral features a newly constructed, fully leased 140,875-square-foot Class A shallow bay logistics facility at 10 Donald’s Way. In addition, the financing covers 9.8 acres of fully leased industrial outdoor storage at 25 Donald’s Way, providing income from existing users of the site.
Beyond the stabilized improvements, the park also includes approximately 45 acres of development-ready land. The new facility is structured to support both the current income-producing assets and the long-term build-out potential embedded in the remaining acreage, aligning the capital stack with the master-planned nature of the business district.
Rotchford noted that securing a facility for a project of this scale required a lender willing to underwrite both the strength of the existing cash flow and the value creation anticipated from the to-be-developed parcels. AllianceBernstein was said to be attracted to the combination of stable income from an investment-grade tenant, a low leverage profile and Rechler Equity Partners’ history in industrial development.
The fully leased status of the existing assets and the presence of an investment-grade tenant underpin the income profile supporting the loan, while the substantial land position provides future expansion potential. The new facility gives Rechler Equity Partners capital to advance its business plan for the district while maintaining an institutional financing relationship for the project.
The transaction highlights continuing lender appetite for well-leased, modern industrial product in established distribution locations on Long Island. It also illustrates how capital is being structured around master-planned industrial parks that combine stabilized assets, outdoor storage and shovel-ready sites within a single financing package.
