The Port of South Louisiana (Port SL) has signed a deal with T. Parker Host to acquire the Avondale Global Gateway.
The acquisition, which has received unanimous approval from the Port of South Louisiana Commission, is anticipated to strengthen the port’s competitiveness in traditional international trade and to explore new opportunities in the rapidly-growing field of renewable energy development.
“Host saw the potential of the Avondale site and stayed the course through significant challenges to realise what Avondale could become,” said Adam Anderson, President and CEO of T. Parker Host.
“Our team of 300 Louisianans has returned the site to commerce as Avondale Global Gateway. Host will continue our work at Avondale as the terminal operator.
“As we look toward the next phase of Avondale Global Gateway’s evolution, we are confident this public private partnership with Port SL positions the site at the forefront of the new frontier of renewable energy development, propelling the State of Louisiana into this new economy.”
The full bond application is anticipated to be $445 million.
The Avondale Global Gateway is a 254-acre global logistics hub located along the Mississippi River. Formerly a shipyard, T. Parker Host has transformed the site into a centre of multimodal commerce, combining river, road, and rail connections with ample storage and laydown space.
The site offers immediate access to regional and interstate highway systems and is positioned at the interchange of six Class I railroads, providing the capability to distribute cargo in all directions.
The acquisition aims to position Port SL as the premier gateway for US import and export traffic and help facilitate economic development in the River Parishes and Southeast Louisiana through waterborne commerce.
At the end of last year, Ports America and MSC’s terminal arm Terminal Investment Limited (TiL) announced they will invest $800 million into a $1.8 billion container facility on the Lower Mississippi River.
According to Port New Orleans’ estimations, the new Louisiana International Terminal (LIT) in St. Bernard Parish will be able to accommodate vessels of all sizes, greatly enhancing Louisiana’s import and export capacity.