Southern Indiana Business Report
BEDFORD — The industrial building that houses SAIC in Bedford recently sold. EastGate Business & Technology Center sold for $40.75 million, according to Northmarq, which brokered the sale.
Science Applications International Corporation is now the sole industrial tenant at the property, located at 3120 16th St., and will continue to lease the building. Neither the seller nor the buyer were named in the release. Northmarq, a firm based in Atlanta, Georgia, represented the seller. A press release from Northmarq said the buyer was an institutional investor.
“We ran a competitive process and were able to generate 11 offers as there was significant interest in the strong corporate credit of SAIC, new 10-year lease and mission-critical nature of this location near Naval Support Activity Crane (NSA Crane), which is the third largest Naval installation in the world,” said Colin Couch, a member of Northmarq’s commercial investment sales team.
SAIC has occupied the property since 2009 and has expanded its footprint on seven separate occasions and will fully occupy the 401,474-square foot property, consisting of the existing 385,474-sq.-foot building in addition to a new 16,000-sq.-foot space that was completed in May.
SAIC is a provider of technical, engineering and enterprise information technology (IT) services primarily to the U.S. government, employing over 25,000 people. As one of the largest U.S. defense contractors, SAIC is a mission-critical tenant and will operate on an extended long-term lease.
In January, SAIC announced it was awarded a $63 million contract from the U.S. Navy to support hypersonics advanced concepts and strategic mission solutions for the Navy’s Strategic Systems Programs (SSP) and NSWC Crane’s Strategic Systems Hardware Division (GXW).
The property is on 74 acres and previously was a Visteon plant, which employed about 700 people and manufactured parts for Ford Motor Co. before it closed. In 2008, Vision Group bought the former Visteon plant and named it the EastGate Business & Technology Center. Early tenants were TriStar Engineering and Tri-County Steel.