FOX CROSSING — The former Clearwater Paper Mill property is now available for lease.
The 1.2 million-square-foot property, on the east side of 249 N. Lake Street, is listed for lease, according to real estate broker Colliers.
The former mill properties were purchased in November 2021 by KK Integrated Logistics, LLC. The Michigan-based warehousing and logistics company’s purchase came after Clearwater Paper Corp. shut down the mill in July 2021, displacing 285 workers and leaving an economic void in Fox Crossing.
KKIL has renovated the properties, updating infrastructure from its past as a century-old paper mill, said Cynthia Kuber, president of KKIL.
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Industrial warehousing planned for former Clearwater mill property
Kuber said the mill has undergone extensive renovations, including demolishing outbuildings near Little Lake Butte des Morts, cleaning up the interior of the mill, and auctioning off machines and other equipment.
She declined to disclose the project’s costs or the mill’s purchase price.
The village of Fox Crossing did not provide any public dollars to KKIL, according to George Dearborn, director of community development.
Colliers lists the 1,124,241-square-foot buildings for lease, identifying it as the former mill and distribution center. The property consists of four parcels totaling 23.9 acres, located directly on Little Lake Butte des Morts.
“All the usable space is going to be within one building,” Kuber said. “It will be separated internally — cold storage and not cold storage.”
Tony Krueger, a former Clearwater paper industrial electrician who used to troubleshoot all the machines on-site, immediately recognized three major changes for the former paper mill site.
Krueger said the demolition included the boiler house and the clarifier, which was previously used to remove suspended solids from wastewater before discharging it into Little Lake Butte des Morts. A metal building that once stored a Yankee dryer for the paper machines has also been removed.
The interior space advertised by Colliers has been newly painted, with heating and sprinkler systems installed and LED lights. Several truck dock doors and shelters have also been added to the building.
The standard warehouse, spanning over 600,000 square feet, will be utilized to accommodate a wide range of industrials and products, including paper or pulp products, equipment, industrial goods, and ambient food-grade items, according to Kuber.
Apartment complex conversion not in the plans
Kuber said the six-story south building is currently being converted into cold storage targeting the cheese industry. The first phase of the cold storage space will be completed by May 2025, with storage availability of 15,000 pallets.
Previously, KKIL said it was possible to convert it into residential apartments, with indoor parking, an outdoor rooftop area, and other amenities.
Dearborn said Fox Crossing offered some money to make up for the shortfall but the project didn’t come to life.
“We prefer to see it converted to some kind of mixed-use, but we couldn’t make that work,” he said. “But it’s on the water. It would have been a nice amenity there.”
Kuber told The Post-Crescent the apartment redevelopment never became an official plan, citing extensive costs and the misalignment with the company’s overall portfolio. The company also bought the former Shopko regional distribution center in De Pere in 2019, which has since been renovated and fully leased to five tenants.
The six-story building near the lake was used for converting industrial towels, napkins, toilet paper, and kitchen towels, and Clearwater Paper utilized the fifth and sixth floor for storage, said Krueger.
Upon completion, the building will feature storage space capable of accommodating approximately 35,000-40,000 pallets. However, the timeline for completion remains uncertain, and will depend on the market demand, Kuber added.
From 1912 to 2025: What is the history of the Clearwater Paper mill?
The mill has a rich history of ownership and production. It started life in 1910 and began making specialty papers two years later in 1912, according to a July 10, 1920 story on Appleton Post-Crescent.
Lakeview Paper Company purchased the mill in 1920 and a significant portion of the products manufactured at this mill will be sold to Sears, Roebuck & Co., a major retailer based in Chicago for making catalogs. The company announced on October 9, 1920, on Appleton Post-Crescent.
In 1929, Kimberly Clark purchased the mill from Sears, Roebuck & Co., named it Kimberly Clark’s Lakeview Mill, expanded its finishing and shipping building, and added a restaurant and medical service. The mill manufactured specialty paper and employed 225 people.
“The entire plant was carefully rebuilt to meet the needs of the new owner,” The Post Crescent wrote on Dec. 31, 1929.
Over the decades, the mill made major Kimberly-Clark products, including Kotex and Kleenex.
The paper manufacturer built its headquarters behind the Lakeview mill in 1956, though it’s since relocated. Designed by architect Bruce Graham — best known for designing Willis Tower and the John Hancock Center in Chicago — the 43.32-acre property, at 401 N. Lake St., is presently for sale.
Ownership shifted several times as the industry and market dynamics changed. Kimberly Clark sold the mill to the New York-based American Tissue, Inc. in November 1996 to comply with antitrust requirements imposed by the U.S. Justice Department, following its 1995 merger with Scott Paper Company, according to a filing with the Securities and Exchange Commission.
The mill was later sold to Georgia-based Cellu Tissue Holdings in August 2002, as American Tissue filed for bankruptcy in 2001. Less than a decade later, in 2010, Washington-based Clearwater Paper Corporation bought the mill, as part of its acquisition of Cellu Tissue Holdings, Inc.
Under Clearwater ownership, the mill produced private brand tissue products for commercial and retail customers.
In 2016, Clearwater laid off 85 employees by closing two tissue machines, signaling a gradual decline in operation.
Its eventual closure came as Wisconsin paper manufacturing faced a slew of changes. On June 1, 2021, Clearwater Paper notified investors of the plan to permanently shut down the Fox Crossing facility, removing three tissue machines and ten converting lines. The decision led to 285 workers losing their jobs.
Who is the other current tenant?
Trilliant Food & Nutrition has resided in the 250,000-square-foot warehouse on the west side of 249 N. Lake St. since April 1, 2022.
Headquartered in Little Chute, it’s the company behind Victor Allen’s coffee brand and Nurri Protein Shake. It also makes private-label and branded beverages, including coffee grounds, coffee pods, teas, and fruit drink mixes. Founded in 1979 by Victor Allen Mondry, it changed its name from Victor Allen’s Coffee to Trilliant in 2013.
Dearborn said the property is reused and is generating revenue for the community. But the warehouse doesn’t provide more than a handful of employment opportunities, he said.
“It’s not the one we (hoped for), but it’s certainly not a bad solution,” Dearborn added.
Zhen Wang is a business reporter for The Post-Crescent. Reach her with story tips and feedback at zwang@gannett.com or 920-993-7117.