BEB Capital sign Krystal Fruits & Vegetables to 150,000 s/f lease

Syosset, NY BEB Capital (“BEB”), an investor and developer of industrial, office, and multifamily assets throughout the East Coast, has signed a lease to Krystal Fruits & Vegetables, a produce wholesale company, for 150,000 s/f at 300 Michael Dr. The industrial property was formerly occupied by Sub-Zero and Walmart and will be utilized for both storage and distribution.

Krystal Fruits & Vegetables, a Long Island distributor that takes in produce from farms across the US and services the region’s finest restaurants, schools districts, and more, added a free home delivery service to address the needs of retail customers when the COVID-19 pandemic changed consumer shopping habits. The additional service has been a growth driver for the company.

“When restaurants were starting to close due to the pandemic, I realized I needed to pivot our business,” said Michael Longo, CEO and president of Krystal Fruits & Vegetables. “We created a free home food delivery service, and it really took off. I needed growth space for storage and distribution and had been looking at locations on Long Island that were in the 50,000 to 60,000 s/f range. When I stepped foot into 300 Michael Dr., I just knew it was the right location for us.”

Longo said, “We needed to close on the lease quickly, and the BEB team was tremendous. Lee took the time to come and meet me. He thanked me for delivering produce to him and his family during the pandemic. You don’t see that level of attention from property owners. It was another reason that I knew I made the right decision in leasing the property.” 

Longo cited 300 Michael Dr.'s ceiling height, interior loading capabilities, which are helpful during bad weather, and the proper electrical for refrigeration needs as features that helped make the decision.  

“Krystal Fruits and Vegetables is one of the largest produce wholesalers in the New York area, and with the expansion of its newly created home delivery service, they needed a space that fit their growing business needs,” said Lee Brodsky, CEO of BEB Capital. “We’re excited that Mike chose 300 Michael Dr. and we’re looking forward to building a long-term partnership with him.”

A JLL team of Tom DiMicelli, Doug Omstrom, Max Omstrom, and Leslie Lanne represented BEB Capital in the transaction. Krystal Fruits and Vegetables was represented by Jason Miller and Jeffrey Schwartzberg of Premier Commercial Real Estate.