DALLAS-When USAA Real Estate Co. brought its4.9-million-square-foot, class A industrial portfolio to marketsome months ago, it attracted the interest of several bidders, bothfrom the United States and other countries. The portfolio, dubbedthe US Core Logistics Portfolio, ended up going to Duke Realty because theIndianapolis-based buyer was thorough in its due diligence,transparent about its processes and was willing to assume some debton parts of the portfolio.

"It was a difficult decision. All the competition was very good,and we had to go a couple of rounds to the best and final process,"comments Jack Fraker, CBRE's managing director ofCBRE's capital markets industrial practice and vice chairman withinthe investment properties-institutional group. Fraker, who led theteam representing USAA RealCo., tells GlobeSt.comthat, throughout the marketing and escrow process, the seller dealtdirectly with the buyer's management, which is what helped Dukebeat out 14 other offers for the portfolio. "This showed us Dukehad all the internal support in this transaction," Frakercomments.

He goes on to say that the portfolio itself was a perfect fitfor Duke. The buildings contained well-known national tenants, withsome of them being single-tenant occupied. "Duke is trying toexpand geographically; they especially like properties on the WestCoast," Fraker adds. Other benefits from the portfolio included100% occupancy across all eight buildings and their locations in"cities with solid supply chain models," Fraker says.

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