InsideIndianaBusiness.com, 3/3:
Northwest Indiana Rail Project to Move ForwardAn investment group says the conclusion of litigation over control of part of Kingsbury Industrial Park in LaPorte will allow a rail project to move forward. Halfwassen Group LLC says the $6 million project will connect the park to a main CSX rail line.
News release below.
March 3, 2015
News Release
LaPorte, Ind. -- Halfwassen Group LLC announced it has been successful in its legal efforts to obtain full control over the 200-acre "owner parcel" at Kingsbury Industrial Park.
The "owner parcel" is a key to the planned development of a long-awaited trans-loading/refrigerated rail service at the park. The Halfwassen Group obtained an order of foreclosure in November 2014 against its former joint venture partners. The dispute had effectively tied the project up in litigation for over a year. On February 20, 2015, the Halfwassen Group obtained a deed for the "owner parcel" at a Sheriff's sale ending the litigation and giving the Halfwassen Group clear title and control to the property. Colin Halfwassen, a partner in Halfwassen Group, confirmed that, "throughout the litigation, the county's lien remained fully intact, protecting the county's $6 million investment in a new rail spur on the property."
On February 28th, Halfwassen delivered a "letter of intent" to the county laying out the plan to "jump-start" the project, which has the potential, according to Halfwassen partner Brent Halfwassen, "to bring significant new jobs and economic opportunity to LaPorte County." Halfwassen said, "The LaPorte County Commissioners have understandably pressed us hard to get this project moving again and we are doing just that."
Indeed, Halfwassen noted that before Thanksgiving, 2014, CSX sent its regional manager for site design to re-work the proposed layout for the CSX Select Site in Kingsbury. The new design minimizes crossings of Hupp Road and continues to show the commitment of CSX to this critical project which will provide both manifest train and unit train service. Manifest trains are freight trains with a mix of car types and cargoes that may be split up or stored en route. Unit trains consist of railcars being shipped from the same origin to the same destination without being split up or stored en route. The refrigerated railcar unit train service from a Florida port will provide for perishable fruits and vegetables to be delivered directly to the Midwest.
County Commission President David Decker hailed the conclusion of the litigation saying, "It was helpful to have Bob Bortz appointed as Receiver during the litigation. Now, as far as we're concerned it's full steam ahead. We happen to have full confidence that the Halfwassen Group has made the right ties in the refrigerated food industry as well as connections with well-funded equity investors and CSX to pull this together. That's why when they say in their letter of intent they are on track to break ground in 2015, I'm fairly confident that's what we will see."
Office of Economic Development Director Dave Christian echoed that sentiment saying his office "worked successfully to improve the four active rail crossings along Hupp Road for increased rail and traffic safety. We have also commissioned a team that is working to complete the necessary surveys and gain consents from adjoining landowners so we that we can bring Hupp Road into the county inventory of roads. LaPorte County is all-in with this project; we've invested considerable sums to provide a climate for private investment to flourish out there and now it's time for that to proceed."
Halfwassen confirmed that the "county has made a large and positive impact in getting us to this point" and he cited developments over the last 90 days, including on-site meetings to finalize plans to start the rail service attended by CSX's director of marketing, the director for sales and their industrial developments manager.
Representatives from the Indiana Economic Development Corporation and the LaPorte County Office of Economic Development have also been involved in these talks.
Source: Halfwassen Group LLC
