Ashley Capital Announces $440 Million Business Park Development in Caledonia
South Hills Commerce Center’s first phase begins in Spring 2025, adding two speculative buildings and 3.8 million square feet of industrial space.
Ashley Capital, a national real estate developer with a strong presence in Racine County, plans to invest $440 million in transforming the former South Hills Country Club into a new industrial park in the Village of Caledonia. The development of the South Hills Commerce Center will span 220 acres in its initial phase, with the potential for future expansion to 350 acres. Located east of Interstate 94 and south of Highway K, the park will include 10 buildings totaling 3.8 million square feet. The project is expected to increase the property’s assessed value by $300 million and generate at least 2,000 new jobs in the area.
This initiative is a collaboration between the Village of Caledonia and Ashley Capital, with the Village offering financial assistance in the form of pay-as-you-go tax increment financing (TIF) to offset development costs, such as site preparation and infrastructure improvements.
The project offers significant potential for local and regional businesses to supply materials and services during the construction phase and to tenants once the park is operational. This creates opportunities for growth, partnerships, and expanded business activity within the region.
The development will proceed in phases, starting with two speculative buildings, with the flexibility to tailor future structures to the needs of specific tenants. Site preparation is expected to begin in Spring 2025. The South Hills Commerce Center will complement the nearby $3.3 billion Microsoft Data Center in Racine County and strengthen the area’s position as a strategic hub in the Chicago-Milwaukee Corridor.
In addition to creating jobs, the development is expected to spur further economic growth and collaboration, offering a wide range of opportunities for businesses to thrive in an expanding market.