MADISON HEIGHTS, MI-Keyang Electric Machinery Co., headquartered in Korea, has signed a five-year lease to relocate to an 18,618-sf industrial freestanding property. The property, located at 31831 Sherman Ave. is an expansion for the company, which relocated from 3,000 sf in Troy. Keyang manufactures and distributes motors that control seat movements in automobiles.
"This was an expansion due to increased sales in the US," explains Dan Labes, of Grubb & Ellis Co.'s Southfield office. Labes, along with Geoff Hill, represented the tenant in the transaction. The owner/landlord, Liberty Property Trust's Detroit office, was self-represented in the transaction.
The quoted lease rate was $5.75 triple net, annually, and Labes tells GlobeSt.com that the tenant took the property as-is, with no TIs necessary. "We looked at other properties, but Liberty was aggressive on the rental rate when this went vacant," he says, adding that Liberty spent the necessary resources to clean up the property following the former tenant's departure.
"Liberty spent money to clean it up, paint it, put new lights in, so it was in move-in condition," Labes adds. "The tenant was able to move in immediately because of the condition of the building, versus the other properties that required more work."
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