The Pittsburgh industrial market has historically been a relatively small property sector due to several limiting factors, including difficult topography, infrastructure constraints and Pittsburgh’s location between two major industrial markets (Columbus to the west and Pennsylvania’s Central Valley to the east). However, with the emergence of e-commerce fulfillment centers, the growth of the Pittsburgh economy and major infrastructure improvements, we are starting to see strong demand for well-located industrial properties in the region. The size of the industrial market for the greater Pittsburgh metro is 185 million square feet. of which, 23.6 million square feet is flex and 161.1 million square feet is warehouse. Flex vacancy rate is currently 9.4 percent with 98,000 square feet under construction while warehouse vacancy is 5.8 percent with 263,000 square feet under construction. Based upon the tight vacancy and limited new construction in the warehouse space, there is believed to be significant pent-up demand, particularly for Class A users requiring 250,000 to 500,000 square feet. Accordingly, there are a number of planned speculative projects in this size range in the Airport, Butler County and Beaver County submarkets breaking ground in 2018. Lenders in the region are also bullish on the strength of the Pittsburgh …
BLACKWOOD, N.J. — Colliers International has brokered the $2.5 million sale of a 44,800-square-foot industrial building located at 100 Freeway Drive in Blackwood. The property is situated on 3.7 acres and features 18-foot ceilings as well as 5,000 square feet of office space. Marc Isdaner of Colliers represented the buyer, FLCR LLC, in the transaction. The seller, Colfin Cobalt I-II LLC, was represented by David Ricci and Tony Rod of Flynn Co. Bank of Hope provided acquisition financing.
ALLENTOWN, PA. — The Markward Group has arranged the sale of 211 Lloyd Street, an 18,086-square-foot industrial facility located on 2.26 acres in Allentown. The sales price was not disclosed. Chip Miers of Markward Group represented the seller, Kay Louise Krapf, in the transaction. The buyer, Serfass Development and Acquisitions, was represented by Ann Kline of Markward Group. The building has been in use as a truck terminal and service repair garage for Ransome CAT. Prior to the sale, the property was leased to ABLE Equipment Rental Inc. ABLE is a supplier of construction equipment rentals and plans to open the Lloyd Street facility in Allentown as its fifth location in the Northeast.
TORRANCE, CALIF. — Rexford Industrial Realty has acquired a single-tenant industrial property located at 3100 Fujita St. in Torrance. An undisclosed seller sold the property for $14 million, or $153 per square foot. Situated on 3.7 acres, the property features 91,516 square feet and features a single tenant, which has occupied the property since 1992.
PHOENIX — BKM Capital Partners has acquired Diablo Business Center, a nine-building industrial business park located at 3610-3660 E. Wier Ave. and 4663-4645 S. 36th St. in Phoenix. An undisclosed seller sold the property for $8.1 million. The multi-tenant property features 150,000 square feet of light industrial space. BKM plans to implement a $1.8 million capital improvement program at the property. Planned renovations include creative speculative tenant buildouts, reviving dead units, the addition of private fenced yards and upgrades to the exterior including a modern, multi-tone paint scheme, drought-resistant landscaping, upgraded monument signage and standardized tenant signage. The company will also address structural improvements including a new roof, new parking lot and an improved HVAC system. Bob Buckley of Cushman & Wakefield represented the seller in the transaction.
LEWISVILLE, TEXAS — Toyota Motor Sales USA LLC, the North American sales and marketing arm of the Japanese automaker, has signed a 121,188-square-foot industrial lease at 121 Riverview Crossing in Lewisville, a northern suburb of Dallas. The developer, ML Realty Partners, recently completed the Class A, freestanding distribution center, which features a rear-load configuration. Dan Spika and Jim Breitenfeld of Henry S. Miller Brokerage Co. (HSM) represented ML Realty Partners in the lease negotiations.
MEMPHIS, TENN. — HFF has brokered the $50 million sale of Memphis Depot, a 43-building industrial portfolio located one mile from Memphis International Airport. Adam Herrin, Stephen Bailey and Jason Nettles of HFF arranged the transaction on behalf of the seller, Mayfield Properties LP. Brian Carlton, David Wheless and Nielsen Keopfgen of HFF arranged a seven-year, $32.5 million acquisition loan through Allegiant Real Estate Capital on behalf of the buyer, a partnership between Diamond Properties and funds managed by Ares Management LP. The industrial property was originally constructed in 1942 as a military supply base for use in World War II. The military used the buildings until 1997, when it was redeveloped into an industrial park by the City of Memphis and Shelby County. The portfolio is 91 percent leased and totals 4.2 million square feet of distribution and warehouse facilities. The buildings are divided into three groups: North Park, which includes 25 buildings with clear heights ranging from 14 to 16 feet; South Park, which comprises 14 buildings with an average clear height of 20 feet; and Interior Park, which includes four buildings with an average clear height of 25 feet.
LAKELAND, FLA. — Dallas-based developer Xebec has acquired 60 acres in the Central Florida community of Lakeland with plans to develop a $39.3 million regional bulk logistics facility. The 533,000-square-foot building will be designed to meet demand from retailers, distributors and third-party logistics providers. Users will be able to reach 19 million consumers within a 200-mile radius of the project and be within an hour drive from three international airports. The facility will feature 40-foot clear heights, a 185-foot truck court with 114 docks, 367 car parking spaces and 102 container parking spaces. Xebec plans to break ground on the building in the fourth quarter, and wrap up construction in the third quarter of 2019.
HANAHAN, S.C. — Stockbridge Capital Group has acquired a newly constructed industrial facility in the north Charleston suburb of Hanahan for $30.5 million. The 350,856-square-foot facility is located at 1025 N. Pointe Industrial Road, five miles from the Port of Charleston’s North Charleston terminal and nine miles from Charleston International Airport. The building features an ESFR sprinkler system, 32-foot clear heights, LED lighting, 180-foot truck courts and on-site trailer storage. The facility is fully leased to AmerCare and ManTech International. Chris Norvell and Patrick Nally of HFF arranged the transaction on behalf of the seller, SunCap Property Group and WestRock, which developed the facility in 2016.
JACKSON TOWNSHIP, OHIO — Industrial Commercial Properties LLC has begun development of a new headquarters and distribution center for ComDoc in Jackson Township, about 12 miles south of Akron. ComDoc is a subsidiary of Global Imaging Systems, a Xerox company. The 107,500-square-foot facility will be located on 12 acres on Pittsburg Avenue. The property will feature 32,500 square feet of office space and 75,000 square feet of distribution space. ComDoc plans to consolidate four northeast Ohio facilities at the new headquarters, which is slated for completion in the spring of 2019. M.E. Osborne Building Co. is the general contractor for the project.