The portfolio was subsequently spun off to Freeway, Armstrong & Twin Lakes Industrial Properties, LLC. However, the properties are being managed by Larry Barnett of Welsh Companies and leased by Jeff Minea, Brian Doyle and Ted Carlson.

Most of the purchase involves two buildings in Eagan—980 and 990 Lone Oak Rd. in the Armstrong Business Center. Similar in size, the buildings are a combined 308,867 sf and are located on 11.4 acres. The building at 990 Lone Oak Rd. was built in 1989, with the second opening three years later.

The deal also involves a 78,470-sf building at 2700 Freeway Blvd. in Brooklyn Center. Located on 7.8 acres, the warehouse building with office space was constructed in 1985.

Also, 1906 W. County Road C in Roseville changes hands. The 47,735-sf building is on 4.6 acres. Built in 1993, it includes showroom as well as office space.

Tenants in the buildings, which are 90% occupied, include Gtech Corp., US Bancorp Piper Jaffray, Medafor, Forward Air Corp. and Expeditors.

Financing was arranged by Holliday Fenoglio Fowler, LP senior managing director Mike Kavanau and real estate analyst Elliott Throne of the firm's Chicago office. The loan, interest-only for seven years, was put together in 50 days, Kavanau says.

"Archon was initially attracted to the loan because of Welsh being one of the top real estate owners in the Midwest," Throne adds.