Page 97 - Rukert - 100th Anniversary

waterfront. Surprisingly, Bud and Rukert Terminals weren’t opposing the plan. In fact, they were part of it. Rukert Terminals and Hale Properties announced a business arrangement that would have them exchange large parcels of land along South Clinton Street. This deal became known as the “land swap.” The agreement was prompted by long-running complaints about salt dust from Rukert Terminals blowing onto the neighboring property’s buildings and trucks. Knowing that his client would not agree to move the salt, Rukert Terminals’ long-time attorney Jerry Geraghty from the firm Blades & Rosenfeld proposed the land swap to resolve the dispute.
Rukert Terminals agreed to trade its 18-acre complex at the corner of South Clinton and Boston streets, including Buildings #22 and #23, to Hale Properties in exchange for 28 acres at the intersection of South Clinton Street and Holabird Avenue. In the agreement, Rukert Terminals acquired an existing building on the Hale property that housed a Peterbilt Truck dealership. After
the swap, this building would become the new
and improved site of Rukert’s Mechanic Shop and Trucking Department. Rukert Terminals also received a 75,000-square-foot warehouse that was renamed Building #22, to replace the one lost at the corner of South Clinton and Boston Streets. And finally, Rukert Terminals acquired a three-story office building and bank at 1801 South Clinton Street, which Hale Properties continued to occupy until the new development was completed. Because the lot sizes were not equal, there was some
money exchanged, but the majority of the business transaction was a trade and therefore tax-free.
Though the two parcels were only two-tenths of a mile apart, exchanging them was a significant win for both parties. The trade was advantageous to Rukert Terminals because while the property on the corner was functional, it was separate from the rest of the terminal. In contrast, the parcel that would be acquired from Hale Properties, just north of Pier 5, was contiguous to Rukert Terminals, allowing for easier flow of cargo around the terminal.
The parcel acquired by Hale Properties at the intersection of South Clinton and Boston streets was close to Canton’s residential and commercial areas, making it ideal for redevelopment for those purposes. Once finalized, the ingenious land swap moved the industrial line of demarcation away from Canton’s housing and retail areas, reducing complaints about noise and dust.
ABOVE: This three- story office building was acquired during the 2001 land swap between Rukert Terminals and Hale Properties. In honor of the deal, management decided to rename the building “Canton Exchange.”
PART II BRINGING THE WORLD TO BALTIMORE
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