Based in Bentonville RZC . Investmentsthe investment platform of Stewart and Tom Walton, grandchildren of Walmart founder Sam Walton, have invested an undisclosed amount in a commercial real estate startup loft in Rogers.
Loloft is an acronym for “Local Logistics, Flexible Terminology”. The business model operates similar to a normal co-working concept but is marketed to early stage or growing companies by offering warehouse space on a flexible basis with lease terms starting at 30 days.
Amenities include Wi-Fi, access to a loading dock, and daily pick-up service from the carrier. A free unloading service is also included, so members don’t need a forklift or pallet trucks.
Loloft co-founder and CEO Brendan Howell introduced the concept at Rogers late last year with a 45,000-square-foot industrial co-working space at 2117 W. Walnut St. He said that operations there ceased last April.
The RZC investment supports Loloft’s development of a new 28,000-square-foot site at 600 S. First St. In downtown Rogers. It will include 11 offices, two meeting rooms, a large conference room, three phone booths, and 31 small private and lockable warehouses ranging in size from 190 to 1,000 square feet.
“We are excited to partner with (Loloft CEO) Brendan (Howell) and the team at Loloft, RZC
Investment partner Matt Tarver said. “We believe in meticulous warehousing and fulfillment centers
Key to unlocking value for growth companies and established players
Both as they look to invest in their supply chain while reducing the cost of logistics, and labor
Capital Investments and Carbon Footprints”.
Chris Baribou with design firm Fayetteville Modus Studio is leading the building’s redesign of the former ice factory. It is expected to open by the end of the year. High Street Real Estate and Development in Johnson is the owner of the building.
More than half of the space available for the new building is pre-leased, Howell said. Members include:
- Small e-commerce businesses are out of their garage.
- Startups working on hardware projects.
- Walmart sellers.
- National brands want flexible flour storage near their retail stores.
“At first, we thought Loloft would mainly attract small e-commerce businesses
Fulfilling orders in their garage but looking to expand into commercial warehouse space,”
Howell said. “But we also find big companies that want to use our space as a last mile
Small hubs for delivery as they can quickly and cost-effectively place the product close to customers
To achieve the same day delivery timeframes.”
In addition to the RZC investment, Loloft has raised more than $1 million. A portion of that funding comes from the Revolutions Rise of the Rest Seed Fund, led by Revolution President, CEO, and AOL co-founder Steve Case.