VOL. 132 | NO. 182 | Wednesday, September 13, 2017
Plymouth REIT Expands Memphis Portfolio
By Patrick Lantrip
Boston-based real estate investment firm Plymouth Industrial REIT has expanded its local portfolio with the acquisition of a 132,000-square-foot industrial center in southeast Memphis.
In the deal, Plymouth purchased the property from Huntington Industrial Partners for $3.7 million.
The building, located at 3635 Knight Road, is completely leased and is the current home of Terminix International Co. and third-party logistics firm Commercial Warehouse and Cartage.
Shane Soefker and Jacob Biddle, the principals of Avison Young’s Memphis office, represented the seller in the transaction and have been tapped by the new owners to handle leasing and property management.
“It’s great to have an active buyer like Plymouth in our market,” Biddle said of the company’s recent acquisition, which is the second local property the company has purchased in less than a month.
On Aug. 18, the Boston REIT bought an eight-building, 235,000-square-foot flex industrial portfolio located on 3.2 acres within the Airport Business Park from Dallas-based Gearing Capital Partners for $7.8 million.
“We are pleased to continue growing our presence in Memphis with its strong market dynamics, access to major distribution networks and positive net absorption,” Jeff Witherell, chairman and CEO of Plymouth Industrial REIT, said in a statement. “With rental rates at 3635 Knight Road below the current market, and its strong location and functionality, we are confident we can create additional value at this property.”
Plymouth currently owns and manages 29 properties totaling 5.8 million square feet in eight states, according to the company's website.
In other real estate news, CW Capital sold the American Way Plaza shopping center to American Way Plaza LLC for $2.1 million.
Soefker and Biddle represented the seller in this deal as well.
The new owners indicated that the plan on holding on the roughly 104,000-square-foot retail center as a long-term investment and have plans to improve the property located in the 4600 block of American Way near the intersection of Perkins Road.
Like Plymouth, CW Capital has also been active in the market recently, as it sold a 13-property portfolio in the Airport Distribution Center and Delp Distribution Center to New York-based Triangle Captial Group for $18.1 million. The portfolio totaled 1.4 million square feet across 70 acres.
As a special servicer, CW Capital specializes in taking over loan servicing when a loan goes into default or is about to go into default and has previously worked with Avison Young to develop a business plan for the distressed properties they have acquired in the Memphis area.