NEW YORK CITY (September 2, 2016) –Keith Braddish, senior vice president/managing director of NorthMarq Capital’s New York City-based regional office, and Will James, vice president of NorthMarq Capital’s Atlanta-based regional office, collaborated to represent the buyer of a 2,000,000 sq. ft. distribution center located in Newnan, Georgia. The property is located 20 miles south of Atlanta’s Hartsfield Jackson International Airport. Previously, the property was built, owned and occupied by Kmart Corporation for over 30 years as a strategic distribution facility for the Southeast. The transaction was structured with a three year term. Financing of $27.775 million to acquire and reposition the property was provided by Ladder Capital and was funded within 50 days of signing. “Our client and the buyer were able to source the acquisition off market, and while under contract secured a sizeable long-term lease for three quarters of the building—substantially changing the transaction’s risk profile,” said Braddish. “The sponsorship expects to fill the remaining space over the next 18 months.” “The largest buildings today in the Atlanta market are no more than one million sq. ft. in size, and the tenant was attracted to a contiguous cubic square footage space size the industrial market can’t offer today,” said James. The acquisition also expands the buyer’s platform from the Carolina’s to the Atlanta Market. The I-85 corridor south of Atlanta to the Gulf of Mexico port in Mobile, Alabama will see significant growth in the industrial sector for two reasons; 1) the Panama Canal opened its wider Post-Panamax shipping channel this June, dramatically changing import shipping patterns from the West Coast to the Gulf and East Coast ports; 2) the Kia plant in Columbus, Georgia continues to expand and for both aspects the warehousing needs along this stretch of I-85 will grow for years to come.
Northmarq is a full-service capital markets resource for commercial real estate investors, offering seamless collaboration with top experts in debt, equity, investment sales, loan servicing, and fund management. The company combines industry-leading capabilities with a flexible structure, enabling its national team of experienced professionals to create innovative solutions for clients. Northmarq’s solid foundation and entrepreneurial approach have built a loan servicing portfolio of more than $76 billion and a two-year transaction volume of $52 billion. Through the 2022 acquisition of Stan Johnson Company, Northmarq established itself as a provider of opportunities across all major asset classes. For more information, visit www.northmarq.com.
