CITY OF INDUSTRY, CALIF. — CapRock Partners has acquired Valley Center Business Park, a 6.5-acre, multi-tenant industrial complex in the City of Industry. The property includes about 92,366 square feet of industrial warehouse space across six buildings. It is strategically positioned for value-add investment in the heart of San Gabriel Valley’s industrial market. CapRock plans to enhance the property’s functionality and marketability through immediate capital improvements.
ESCONDIDO, CALIF. — Express Dry has acquired a 14,000-square-foot industrial building located at 1449 Simpson Way in Escondido for $4.4 million. The purchase was made under the entity Expressunits1449 LLC. The building will facilitate the company’s expansion plans in the Escondido submarket of North San Diego County. JLL’s Chris Baumgart represented the buyer. San Diego Commercial represented the seller, Marky Sparky Toys.
REDFORD, MICH. — DTE Energy has inked a new industrial lease for 528,340 square feet at Pinnacle Logistics Park in Redford, a northwest suburb of Detroit. The property is located at 24400 Glendale Road. Jared Friedman of Friedman Real Estate represented the undisclosed landlord. CBRE represented Detroit-based DTE, which will use the facility to store equipment.
CHICAGO — Moody Bible Institute has renewed its 36,956-square-foot industrial lease at 2701 S. Western Ave. in Chicago. Situated in the city’s Little Village neighborhood, the property features a clear height of 20 feet, four loading docks and convenient access to I-290 and I-55. Mandy Lewandowski and Chris Mergenthaler of DarwinPW Realty/CORFAC International represented the landlord, Welbic IV. Julie Lane of Cresa represented the tenant.
ANDERSON, S.C. — Kansas City-based Hunt Midwest has completed the construction of a speculative industrial building located within Evergreen Logistics Park at I-85 in Anderson. Located at 1105 Scotts Bridge Road, Evergreen Logistics I totals 258,801 square feet and features 32-foot clear heights, 26 dock positions, 32 additional knock outs with capacity for expansion to 48, 60-foot-deep staging bays, LED lighting, an ESFR sprinkler system and speculative office space. The property also includes a 185-foot-deep truck court with 77 trailer parking stalls and 200 vehicle parking spaces. This marks Hunt Midwest’s second industrial project in the Greenville-Spartanburg industrial corridor, following the development of Fort Prince Logistics Center in Lyman, S.C.
SUMMERVILLE, S.C. — Atlanta-based Portman has purchased 40 acres along US Highway 78 in Summerville, a suburb of Charleston. Situated near I-26 and the Port of Charleston, the site will be home to Summerville Logistics Center, a two-building industrial development totaling 536,000 square feet. Lee Allen and Kevin Coats of JLL represented Portman with the acquisition of the Summerville land. Ryan Welch and Clarke Attaway with Lee & Associates represented the seller and will lead the leasing efforts for the Summerville Logistics Center on behalf of Portman. Once complete in February 2025, the center will feature two single-load facilities with a 210-foot shared truck court. In addition to Summerville Logistics Center, Portman is finishing the next phase of its Campus 4 at Camp Hall project, which is situated nine miles north. The next phase comprises a 1.1 million-square-foot facility that will deliver in September. Portman is also co-developing Magnolia, a 189-acre mixed-use, waterfront destination in Charleston, with Highland Resources.
SAVANNAH, GA. — J.P. Morgan Real Estate Income Trust Inc. has purchased a 136,240-square-foot infill industrial facility in Savannah. InLight Real Estate Partners, in a partnership with Black Salmon, sold the build-to-suit transload property to the REIT for $74.7 million. Britton Burdette, Patrick Nally, Dennis Mitchell, Matt Wirth, Mitchell Townsend and Jim Freeman of JLL represented InLight and procured the buyer in the transaction. Located at 4833 and 4835 Old Louisville Road, the 60-acre site features 134 dock doors, 884 trailer parking spaces and 69 automobile parking spaces. Situated south of the Savannah/Hilton Head International Airport and along U.S. Route 80, the facility is within a five-mile radius of I-95, I-16, the CSX and Norfolk Southern intermodals and both terminals of the Port of Savannah.
FARMERS BRANCH, TEXAS —Bradford Commercial Real Estate Services has negotiated an 18,445-square-foot industrial lease at Westwood Business Park in the northern Dallas metro of Farmers Branch. The development consists of 12 buildings totaling 227,905 square feet. Jason Finch of Bradford represented the landlord, Dallas-based Pegasus Real Estate, in the transaction. The representative of the tenant, Colt Facility Maintenance, was not disclosed. Westwood Business Park is now 95 percent leased.
NORTHBOROUGH, MASS. — Colliers has brokered the $79 million sale of two industrial facilities totaling 387,544 square feet in Northborough, located outside of Worcester in central Massachusetts. According to LoopNet Inc., the warehouse at 301 Bartlett St. was built in 2018 and totals 220,106 square feet, and the facility at 150 Hayes Memorial Drive was constructed in 2020 and spans 167,438 square feet. Frank Petz, Matthew Sherry and Jack Barrett of Colliers represented the seller, Boston-based TA Realty, in the transaction. The buyer was industrial investment firm LBA Realty.
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Lee & Associates’ Second-Quarter 2023 Economic Review by Sector
Lee & Associates’ newly released 2023 Q2 North America Market Report outlines industrial, office, retail and multifamily outlooks trends in the United States. This sector-based review of commercial real estate trends for the second quarter of the year examines the difficulties facing each property type and where opportunities in the landscape may be emerging. Troubles with absorption dogged each sector, with the exception of retail, throughout the first half of 2023. Scheduled deliveries for industrial, office and multifamily indicate this trend will continue throughout much of the United States for the foreseeable future. Lee & Associates has made the full market report available here (with further breakdowns of factors like vacancy rates, market rents, inventory square footage and cap rates by city). The summaries from each sector below provide high-level considerations of the overall outlook and challenges in the market. Industrial Overview: Industrial Growth on Track for Least Gain in Years In a reversal from the ballooning logistics capacities required during the pandemic, demand for industrial space has slowed across North America. After continuously rebuilding inventories from the fall of 2021 through the third quarter of last year, many retailers and wholesalers are taking a breather, pausing further inventory accumulation out of caution over …