NEW ORLEANS (WGNO) — On Wednesday, the Industrial Realty Group, LLC (IRG), one of the country’s largest owners of commercial and industrial properties, signed a long-term ground lease with NASA’s Michoud Assembly Facility in New Orleans.
The agreement includes a 50-acre development parcel within NASA’s Michoud Assembly Facility, which is one of the largest production facilities in the nation, according to IRG.
IRG’s future development is expected to be up to 1,000,000 square feet of buildings developed in phases. The target users include light assembly, manufacturing, distribution, and office space. MAF is inherently secure with a 19 ½ foot levy and substantial onsite pumps, as well as access to a deepwater port.
“When we look at the property, we are always searching for creative solutions that benefit all
parties,” said Stuart Lichter, President of IRG. “In this instance, IRG can provide NASA an excellent long-term plan for its underutilized land in Orleans Parish, while developing a dynamic project resulting in job creation and economic growth. It’s mutually advantageous for the community, NASA, and IRG.”
NASA Michoud is a high-performing site, supporting several major projects. The ground
lease will help support their continued efficiency and fiscal ingenuity.
“The agreement with IRG, allows MAF to offset some production costs and gives new purpose to this part of the installation,” said Robert Champion NASA’s Director of the Michoud Assembly Facility.“Being innovative, even when it comes to our real estate, translates into increased efficiency in our operations.”
The first phase of development is expected to produce a modern, 400,000 square foot
The project’s timeline will be based on market demand.