Located at 5901-5921 Thurston Ave. in Airport Industrial Park, Airport Industrial Center II is something an anomaly for the market, Ellis tells GlobeSt.com. "We have a largely owner-occupied industrial market here--it is about 65% to 75% owner-occupied. So investment properties come to market very rarely." Crider & Shockey had owned Airport Industrial Center II for 12 years prior to putting it on the market and the property had performed very well, Ellis says.
Built in the early 1970s, the property is front loaded with 21-foot to 24-foot clear heights in the warehouse and minimal office build out. It didn't have typical triple net leases in place, which meant deriving a true NOI was somewhat difficult, Ellis reports. "So the buyer did not purchase it using cap rate considerations but rather on the price per sf." Typical investment trades in the industrial market here have ranged from $50 per sf to $75 per sf.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
