On the heels of getting acquired by a global private investment firm, rebranding, and exceeding $1 billion in sales, MODE Transportation is ready to make more big moves. The Dallas-based transportation solutions provider announced this week that it’s relocating from Preston Trail Atrium to a new headquarters location at Signature Exchange.
MODE’s new HQ is one of more than 100 offices the company has across the country.
For the move, JLL led the lease negotiation, and Cushman and Wakefield represented the landlord. MODE’s President and CEO Jim Damman said the new location will provide the capacity needed to support the company’s growth plan and the right environment for employees.
“MODE Transportation’s rapid growth required additional space to accommodate their talented employees, and provided a great opportunity to create a more engaging work environment,” JLL Executive Vice President Conor McCarthy said in a statement. “Their new open office environment will provide a creative workplace for their employees that will allow them to raise the already high quality of their client services.”
MODE is a transportation and logistics company that offers customized shipping solutions through a wide variety of transport options. The intent is to provide customers the convenience of using a single provider, no matter the industry: food & beverage, industrial, pharmaceutical, manufacturing, automotive, chemical, and retail.
With a tagline of “we operate with a mode of confidence,” MODE calls its network of carriers—which delivers everything from air to sea to supply chain freight—”second to none.” Technology is a pillar of the company’s strategy, with things like real-time tracking, a compatible platform, and robust reporting and dashboarding tools offered to carriers and customers.
The three-decade history of MODE Transportation
MODE was founded back in 1989 as Mark VII Transportation. A couple of acquisitions and name changes followed before it was acquired by transportation management company Hub Group in 2011. After operating for years as a subsidiary of Hub Group, in September 2018, MODE was sold to an affiliate of a global private investment firm, York Capital Management, for around $238.5 million.
Now, MODE continues to independently operate as a full-service transportation and logistics company.
“Mode is an exceptional agent-based transportation solutions provider differentiated by customer-specific expertise, offerings across all modes of freight transportation and leading edge technology and analytics,” Damman said at the time of the acquisition. “We are excited about joining forces with York and the support they will provide as we execute our growth plan. We look forward to continuing to serve our agent, customer, and carrier community.”
Last month MODE celebrated its 30-year anniversary and $1B+ in sales in 2018 with a rebranding. With a new website design, more user-friendly features, and elevation of the company name, MODE, intended to showcase its comprehensive approach to solving transportation challenges.
“Our unwavering commitment to solving the biggest shipping challenges using a multi-modal, customized approach hasn’t changed since our inception and is a key differentiator for our business,” Damman said in a statement. “Throughout our history, we have served the same customers year after year, tackled the variables and absorbed their worry—we wanted our reputation reflected in our brand as we continue to grow the business.”
MODE is a non-asset third-party logistics (3PL) company, meaning services operate through a network of independent business owners. The 3PL industry has been undergoing a recent development by way of large amounts of private capital, according to a recent report by FreightWaves. John Paul Hampstead writes that the 3PL space is “in no danger of barbelling in the foreseeable future,” and private equity will continue to come into play when building larger freight brokerages.
And, the report notes a recent ranking that lists private equity-backed freight brokerages, showing MODE Transportation as No. 12 this year. Hampstead said over the course of York’s holding period, he expects “acquisitions and accelerated growth from MODE.”
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