(Save the date: RealShare Industrial 2012 comes to The Bankers Club, Miami, December 5 – 6.)
LOGAN TOWNSHIP, NJ–Multi-Employer Property Trust has acquired the 599,500-square foot Kimberly-Clark Corporation Distribution Center here in a deal valued at more than $60 per square foot.
MEPT, a $5.6-billion real estate equity fund based in Washington, DC, paid $36.1 million for the property that is LEED Silver certified. The property was built in 2009 by Dermody Properties of Reno, NV and shortly thereafter leased to Kimberly-Clark. Dermody, which is also known as DP Partners, sold the property, located in the 1,000-acre LogistiCenter at Logan, to Northwestern Mutual Life Insurance Co. in late 2010 for $35.5 million.
Michael Hines, Michael Blunt, Brian Fiumara, and Brad Ruppel of CBRE’s National Partners, along with William Goodwin of CBRE’s Industrial Brokerage group, represented the seller, Northwestern Mutual. MEPT was advised by Bentall Kennedy.
CBRE officials say that the property’s location, near Interstates 295, 95 and the New Jersey Turnpike, as well as its expansion capabilities for another 192,000 rentable sf, fueled considerable investor interest. Hines notes the property attracted 13 offers before the deal with MEPT, which submitted the highest offer, was finalized.
The property also boasts cross-dock configuration with full circulation, 32’ clear height, expansive column spacing with 50’ x 60’ speed bays, ample loading with best-in-class dock packages, 267 permanent trailer positions, T-5 lighting, and an ESFR sprinkler system.
Kimberly-Clark currently has two years remaining on its lease, CBRE says. 1150 Commerce Drive is located just nine miles from a Scott Paper (Kimberly-Clark subsidiary) manufacturing plant near Philadelphia International Airport, Hines says.
“The Southern New Jersey industrial submarket continues to attract institutional investors focused on the location’s strategic location along the Northeast distribution corridor, virtually equidistant from the New York City and Washington, D.C. metros,” Hines says. “1150 Commerce Boulevard represents an unparalleled combination of best-in-class asset quality, integral logistics connectivity, and an excellent tenant story.”
He adds that because of tight conditions in the New Jersey industrial market, particularly in Northern New Jersey, industrial properties in the southern part of the state continue to attract significant capital investment.