VOL. 133 | NO. 5 | Friday, January 5, 2018
Texas Investor Buys $14.6M Industrial Portfolio
By Patrick Lantrip
Sealy & Co., a Texas-based real estate investment firm, has purchased a 584,000-square-foot industrial portfolio in the Southeast Memphis submarket for $14.6 million.
In the deal, Sealy purchased six buildings in the Airport Industrial Park from Pennsylvania-based Exeter Property Group that include 4841 Cromwell Ave., 4289 Concorde Road, 4403 Delp St., 4006 Air Park St., 4128 New Getwell Road and 4132-4180 New Getwell Road.
Tim Weber, managing principal and chief financial officer with Exeter Property Group, signed the Jan. 2 warranty deed on behalf of the sellers.
Though Sealy purchased the portfolio directly from the buyers, NAI Saig Co. will represent Sealy in the market.
“Sealy is a large investment group across the Southeast,” Hank Martin, NAI Saig Co. vice president and business manager said. “Their portfolio and funds vary in age, size and product type, but it’s all industrial.”
Martin said that Sealy has been very active in the Memphis market recently and currently owns about 1 million square feet in the Southeast submarket.
“They are attracted to this market and they felt like properties of this size fit into their portfolio,” Martin said.
Since the portfolio is currently 87 percent leased, NAI Saig will help Sealy fill the remaining vacancies.
The portfolio currently has 7,800 square feet up to 50,000 square feet available in varying sizes, Martin said, calling it "good, quality second-generation space.”
Martin believes the properties are a prime location for local and regional tenants in need of distribution space.
“Airport Industrial Park is very attractive for a lot of these regional tenants because you’re right there off of (Highway) 78 near the airport with easy access to (Interstate) 240,” Martin said. “From a regional standpoint, that’s pretty much ground zero.”
As for the Sealy’s future plans in the market, Martin said they will continue to shop for more properties to add to their expanding portfolio.
“We feel they are going to be a good client in the future, both on the landlord side and the investment side,” he said.