DENVER– Sand Springs Railway Company (SS), a managed affiliate of OmniTRAX, Inc., one of the largest privately held transportation service companies in North America and an affiliate of The Broe Group, is acquiring the Gerdau (NYSE: GGB) mill site in Sand Springs, Okla. Sand Springs Railway Company provides freight service between Sand Springs and Tulsa. Financial terms were not disclosed.
Sand Springs Holdings, LLC, an OmniTRAX affiliate, purchased SS from Gerdau in 2014 and has since been leasing portions of the 146-acre site. Part of the steelmaking operations on the site will be demolished and the property will be developed for mixed use, including industrial, retail, office and transportation/logistics.
“The mill site is a great location to attract tenants that require solid infrastructure, access to major transportation lanes and support from our top-rated development team. It will also give us the opportunity to expand the local operation of OmniTRAX Logistics Services, our transloading, terminal and logistics solutions affiliate,” said Kevin Shuba, CEO of OmniTRAX, Inc. “We appreciate the solid working relationship we’ve had with Gerdau over the past two years and their professionalism during the sale and transition period.”