GE Distribution Center

General Electric needed a new distribution center connected by a fresh 2,500-foot rail spur to its existing Bay St. Louis plant. Three days after the binding term sheet was signed, the eye of Hurricane Katrina roared directly through the proposed site, flooding it completely.

The team had to solve for the impossible: conventional Builder’s Risk insurance was unavailable at ground zero; the building pad had to be raised six feet to clear Katrina flood levels; the local bidding environment was severely unfavorable; and property-tax exemptions and incentives were caught in the budget crisis of Katrina relief and recovery. Craig’s team was GE’s single point of delivery — at risk from due diligence through move-in.

Contractors and trades were brought in from outside the region because local professionals were unavailable. Despite it all, the ground lease and build-to-suit lease were negotiated and executed, and construction was completed on the approved design and within budget. After GE moved in, Craig identified an investor and sold the completed building at a sizeable margin. The easy move would have been to point to the force-majeure clause; delivering instead gave the area some hope — and, in Craig’s words, earned a lot of applause.