According to an announcement from Monmouth, the net proceeds of approximately $10.5 million is expected to be used "to purchase additional properties in the ordinary course of business" as well as for general corporate purposes. The REIT focuses on net-leased industrial assets; it currently owns 58 properties, in addition to one shopping center and a portfolio of REIT securities.

The last property acquisition announced by Monmouth, in mid-September, was of a 40,000-square-foot building in the Forbes Field Industrial Park in Topeka, KS purchased for about $4.1 million. Constructed as a build-to-suit in 2006, it is triple-net leased to Coca-Cola Enterprises Inc. through September 2021. The seller was GE Commercial Finance Business Property Corp. and the property is subject to a ground lease with the Metropolitan Topeka Airport Authority. Darren Sides of Porthaven Partners LLC represented Monmouth in that deal.

In announcing the acquisition, Monmouth president Eugene Landy said in an announcement that the company "seeks to acquire additional properties that are net-leased on long-term leases to investment grade tenants in 2009-2010."

Investment sales volume for single-tenant industrial assets is not unlike the rest of the commercial real estate market in having declined significantly. According to data from Real Capital Analytics Inc. of New York City, during the 12 months through the second quarter almost $2.83 billion of single-tenant industrial properties changed hands. That's a 62% decline over the previous 12-month period.

But according to RCA's data, the second quarter of this year was stronger than the first quarter for sales of this property type. Indeed, some sales are getting done. Other recent transactions include:

Net lease REIT One Liberty Properties Inc. of Great Neck, NY, sold an industrial building in St. Cloud, MN for about $17.1 million. Its announcement did not identify further details of the proeprty or the buyer, but said the buyer assumed an approximately $9.1-million mortgage financing.

Holliday Fenoglio Fowler LP arranged a $3.5-million financing for the Tharco Building, a 126,388-square-foot distribution/warehouse building in Gresham, OR that is fully occupied by Tharco Containers. The 15-year, fixed-rate, non-recourse, fully amortizing loan was placed by HFF's Tom Wilson and Lloyd Minten for the owner, who recently purchased the asset all cash. The loan was provided by Delaware Investments.

On behalf of Welsh Real Estate Fund IV LLC, WelshInvest of Minnetonka, MN acquired Fond du Lac III, a 234,000-square-foot office/warehouse property in Fond du Lac, WI for $5.1 million. It is fully leased to a single tenant.

Instant Insights /

Monmouth Raises Equity for Industrial Buys

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