Boston-based Plymouth Industrial REIT Inc. announced Sept. 11 it bought a Jacksonville industrial property and two more in St. Louis for $51.2 million.
In Jacksonville, the deed shows it paid $20.4 million for the 289,850-square-foot industrial building on 20.7 acres at 8451 Western Way, off Interstate 95 and near Plymouth’s Center Point Business Park and Liberty Business Park.
The Class B industrial building is fully leased to five tenants. Plymouth said it is projected to provide an initial yield of about 8.8%.
Property records show it was built in 1968.
Jacksonville-based NAI Hallmark announced Sept. 11 that it brokered the property sale on behalf of the seller, Conser Holdings LLC.
NAI Hallmark Managing Partners Keith Goldfaden and Christian Harden and Senior Vice President Daniel Burkhardt brokered the deal.
NAI Hallmark said the tenants include Conser Moving and Storage, Total Military Management, Jacksonville Juniors Volleyball Association and Niles Building Products.
Records show Conser Properties LLC paid $3.5 million for the property in 2013. In 2015, it deeded the property to Conser Holdings LLC for about $3.18 million.
Plymouth paid $30.7 million for the St. Louis properties that total 566,408 square feet. They are projected to provide a yield of 7.2%.
Plymouth said the acquisitions expand Plymouth’s presence in both markets. It said it financed the acquisitions with working capital and borrowing under its credit facilities.
“These acquisitions are classic Plymouth properties in markets with strong industrial demand fundamentals and access to large, highly skilled blue-collar labor pools and are in close proximity to our existing portfolio assets,” said Plymouth President Pendleton White Jr., also chief investment officer, in the news release.
“We were able to acquire these properties well below replacement cost and are confident in our ability to drive rental growth as near-term lease expirations occur,” he said.
White said the purchases are “consistent with our strategy of creating clusters of properties within our selected markets.
“The added scale of these properties enables us to leverage future leasing and acquisition activity as well.”
In November 2018, when Plymouth was preparing to pay $97 million for 20 Southside buildings, White said the company would continue to invest in Jacksonville.
Those properties totaled about 1.1 million square feet of light industrial and flexible-use space.
“We like the fact it is a growing city,” he said, citing the industry mix in Jacksonville that includes the military, medical centers, financial services and logistics.
“We are looking to acquire additional properties as well, so we expect to have a pretty solid presence in the Jacksonville area,” White said.
