ATLANTA — Cobalt Industrial REIT II, an affiliate of Dallas-based Cobalt Capital Partners, has purchased a nine-building portfolio in the 587-acre Shawnee Ridge industrial park from SAR at Shawnee Ridge for an undisclosed amount. The properties, which total 1.7 million square feet and are 82 percent leased, are located in the Atlanta’s northeast submarket. Chris Riley, Frank Fallon and Brian Budnick of CB Richard Ellis’ Atlanta office represented the seller, and Cobalt was represented in house.
According to Lewis Friedland of Cobalt Capital, the company purchased the buildings as part of an Atlanta industrial expansion plan. “We already own a significant portfolio of light industrial properties in Atlanta,” he says. The low level of industrial activity in Atlanta doesn’t bother Friedland, who expects tenants to start making moves soon. Each building in the Shawnee Ridge portfolio averages 189,000 square feet, a size Friedland targets when dealing in the Atlanta market. “We’re still seeing strong demand from tenants in the 10,000- to 50,000-square-foot range,” he says.
Overall, the Class A warehouses, which were constructed in the 1990s are in “very good condition,” Friedland says. To attract new tenants, however, Cobalt will undertake a small amount of interior and exterior renovations. Cobalt is currently searching for light industrial users with small office requirements
— Jon Ross