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New Rail-Served Industrial Park Looks to Skip US-Mexico Border Congestion

Facility Will Feature Up to 10 Million SF of Class A Warehouse Space Strategically Located Along Kansas City Southern Railway
May 15, 2018
A 540-acre industrial park set to break ground in El Campo, TX, will look to solve a major headache for businesses that ship goods between the US and Mexico.

Stonemont Financial Group, Ridgeline Property Group, Kansas City Southern and NAI Partners will conduct the groundbreaking of the SW International Gateway Business Park on June 19, 2018. The park will offer frontage to the US 59/I-69 NAFTA Superhighway, and will provide access, visibility and rail service via the Kansas City Southern Railway.

The site is a backhaul supply chain solution for US-Mexico manufacturers, NAI Partners’ John Simons said. Right now, full rail cars are traveling into Mexico, and coming back empty via trucking through Laredo. With traffic and congestion on the roads coming across the border, waiting for empty rail cars to make it across the border can significantly slow down a supply chain.

That’s where Kansas City Southern comes in. U.S.-based manufacturers can bypass the border congestion by sending the empty rail cars back by rail, directly to the U.S.-based warehouse.

Kansas City Southern Railway offers seamless cross-border transportation into and out of Mexico with customs pre-clearance for faster, lower-cost service than trucks can offer. Kansas City Southern's unique rail access, via Kansas City Southern de Mexico, to the Port of Lazaro Cardenas on Mexico's Pacific coast, is ideal to avoid congestion in other west coast ports.

"The SW International Gateway Business Park represents a strategic opportunity for businesses that ship goods between the United States and Mexico," said Zack Markwell, CEO and managing principal of Stonemont Financial Group. "This development will allow the transportation of goods to occur more efficiently. We are proud to help make this important facility a reality."

At capacity, the park will be able to accommodate up to 10 million square feet of Class A warehouse, manufacturing and rail-served distribution facilities. Other key features of the master-planned multi-modal distribution park include:
  • Staging area for more than 200 rail cars.
  • Foreign Trade Zone and additional local and state economic incentives.
  • Six Texas ports within 250 miles (Beaumont, Corpus Christi, Freeport, Galveston, Houston, and Port Arthur).
  • On-site centralized transload station for items crossing the U.S./Mexico border.
  • KCS Certification.
  • The ability to deliver build-to-suits within 12 months of executed lease.

For the Record:

Stonemont Financial Group is providing funding for the park, which is being developed by Ridgeline Property Group. Both companies are based in Atlanta. John Simons, Holden Rushing and Chris Haro of NAI Partners’ industrial corporate services group, and Steve Pastor of NAI Hanson, are the brokerage team marketing this best-in-class industrial park.

Kyle Hagerty, Houston Reporter  CoStar Group   
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