A relatively new 1.2-million-square-foot East Hartford warehouse that was slated for use by online retailer Wayfair has been sold for $212.64 million to an affiliate of Walmart.
Newtown, Massachusetts -based National Development and its partner — international real estate investment and property management giant PGIM — announced their sale of the warehouse, which sits on 112.4 acres at 695 East Hartford Blvd. The buyer, according to land records, is Walmart Fulfillment Services LLC, of Bentonville Arkansas.
Walmart Fulfillment services is a program that allows sellers on the Walmart Marketplace service to store, pick, pack and return items using Walmart’s infrastructure.
The deal marks another milestone in the redevelopment of the former Rentschler Field property, where National Development has assembled a large-scale logistics and industrial park.
In early 2023, a National Development affiliate paid $78.47 million for roughly 300 acres of the former airfield from Raytheon Technologies Corp., securing one of the largest redevelopment sites in Greater Hartford.
The developer subsequently completed two large distribution facilities totaling more than 2.5 million square feet. The larger, a 1.3-million-square-foot building, is leased to Lowe’s Home Improvement, while the slightly smaller 1.2-million-square-foot facility had been leased by Wayfair.
Wayfair, however, never fully occupied the space and later sought to sublease the building, facing challenges in securing another tenant.
In 2022, East Hartford officials signed off on National Development’s plan for the warehouses, as well as two, 100,000-square-foot buildings for either high-tech manufacturing or research and development. Those smaller developments have not yet moved forward.
PGIM, headquartered in Newark, New Jersey, is the investment management business of Prudential Financial Inc.
Soultana Reigle, PGIM’s head of U.S. equity for real estate, said the East Hartford development’s strategic location and state-of-the-art construction have made it an attractive option for big-box users in a Northeast market with limited supply, according to an announcement by National Development and PGIM.
East Hartford Mayor Connor Martin released a statement touting the sale as a sign of continued progress redeveloping the Silver Lane Corridor, a main artery that passes by the warehouse access road.
Martin’s statement noted the town is working with developers on a planned 402-unit development at the former Showcase Cinema site, as well as the redevelopment of a town-owned 22-acre site that held the Silver Lane Plaza. The town demolished the deteriorating retail plaza and is working to recruit a mixed-use development.
The sale of the massive warehouse will increase employment and economic vibrancy in the industrial, commercial and residential sectors, Martin said.
Once a certificate of occupancy is issued for 695 East Hartford Blvd, the property will be eligible for tax abatements over five years as part of the state’s Enterprise Zone program, Martin said.
