Venture One Breaks Ground on 1.2M SF Industrial Facility for John Deere in Indiana

Venture One Commences Construction on Major Industrial Development for John Deere

Venture One, an industrial real estate private equity and development firm, has broken ground on a 1.2 million-square-foot build-to-suit distribution center for John Deere on a 234-acre site near Hebron, Indiana. The project is expected to be completed in 2026 and represents a significant industrial real estate development in the Lowell-Hebron area of Lake County, strategically positioned off Interstate 65.

John Deere plans to invest $125 million to construct and equip the facility, which is expected to create approximately 150 jobs. The distribution center will enhance supply chain efficiency for parts distribution to U.S. customers across agriculture, turf, construction, forestry, mining, and related sectors.

Strategic Location and Development Details

The real estate development project occupies a 234-acre site in Lake County near the Lowell-Hebron area, with direct access to Interstate 65. The single-building industrial facility will serve as a dedicated parts distribution center for John Deere, representing a 100% pre-leased build-to-suit arrangement.

Groundbreaking occurred in late January 2026, with Venture One serving as the developer for the project. The facility's central Indiana location leverages the state's position as the "Crossroads of America," providing strategic logistics advantages for nationwide distribution operations.

Economic Incentives and Investment

The project benefits from substantial economic incentives designed to support industrial real estate development in Indiana. The Indiana Economic Development Corporation approved $2.5 million in tax credits, while local incentives include up to $1.25 million in personal property tax abatement and $4.56 million in real property tax abatement over seven years. John Deere will also pay a $435,000 development fee as part of the arrangement.

Indiana Governor Mike Braun highlighted the state's business-friendly environment and logistics infrastructure as key factors in attracting the investment. Lake County officials emphasized the economic benefits, including a more resilient tax base and job creation in the region.

Part of Broader U.S. Manufacturing Commitment

The Hebron industrial facility represents one component of John Deere's $20 billion commitment over 10 years to U.S. manufacturing. The company is simultaneously developing a second facility—an excavator factory in Kernersville, North Carolina—which will shift production from Japan and create over 150 additional jobs.

The dual-facility strategy reflects John Deere's response to customer demands for faster parts delivery and increased U.S.-focused manufacturing amid ongoing supply chain pressures. CEO John May has emphasized the company's commitment to "building America" and driving innovation through domestic production capabilities.

Industrial Real Estate Market Context

The project aligns with continued demand in the U.S. industrial real estate sector, driven by e-commerce growth, reshoring initiatives, and supply chain resilience strategies. Venture One specializes in industrial private equity and development, though specific financial metrics for this transaction were not disclosed.

The project is expected to be completed in 2026, positioning John Deere to enhance its parts distribution capabilities and strengthen its supply chain infrastructure across the United States.