Real estate.
Whether you define it as bricks and mortar or a parcel in an industrial park, real estate plays a critical role in the economic development process.
Economic development organizations throughout the country strive to maintain a diverse portfolio of potential sites, as they try to meet the needs of companies considering their communities.
Think of it like a car lot. Some customers may be looking for a minivan and some may be searching out the perfect pickup truck. The one constant: those customers aren’t going to purchase something that is not on the lot. If you don’t have it, you can’t sell it.
Colleton County is no exception. We have worked at developing our own portfolio of sites. It’s a product offering that ranges from established industrial parks for small to midsize lots, outland parcels clustered around available infrastructure that may have potential for a large project as well as a mega-site that could one day accommodate a, well, mega-project.
Available buildings also play greatly into the equation. A decade ago, more than 80 percent of companies considering South Carlina wanted to locate in an existing facility. As projects have become more specialized, that number has shrunk to about 60 percent.
But the demand for buildings remains strong, and that is one reason Colleton County, like many other communities, has gotten into speculative development business by financing and construction their own buildings to use as prospective landing places for companies considering the area.
And, it has worked. The largest manufacturer in the county, Gehl Foods, now owns both former speculative buildings at the Colleton County Commerce Center located off Exit 62. The company would not be here without the county investing in a buildings, which trimmed development timelines and ensured speed to market.
If financially feasible, I would love to build another spec building one day, because such an endeavor would almost certainly result in more job opportunities for Colletonians.
There are also a number of privately-held buildings in our inventory, and we go to great lengths to maintain positive relationships with real estate brokers and ownership of these facilities. However, that does not mean they are suitable for every project, nor are those owners, often located in other states or countries, obligated to sell.
Many of these outdated facilities have either fallen into disrepair or simply don’t suit the needs of most prospective buyers. That leaves us with very little recourse: we could condemn and demolish the buildings effectively ending potential for redevelopment or we can continue marketing the properties in the hopes that the right deal comes along.
And no, we can’t make Project X go into the former Dayco facility. But it’s not for lack of trying.
