Saudi Firm Acquires FedEx Ground Facility Near Chicago
The 306,448-square-foot facility at 5959 West Howard St. was originally constructed in 2015 as a build-to-suit for FedEx Ground, the net-leased property supports distribution in the surrounding markets and features 101 dock high doors on a 39.81-acre site.
NILES, IL—Saudi Arabia-based SEDCO Capital has acquired a more than 300,000-square-foot FedEx Ground-leased distribution facility here. The property was purchased via a separate account managed by ElmTree Funds, LLC of St. Louis.
The 306,448-square-foot facility at 5959 West Howard St. was originally constructed in 2015 as a build-to-suit for FedEx Ground, the net-leased property supports distribution in the surrounding markets and features 101 dock high doors on a 39.81-acre site.
No financial details of the transaction were disclosed.
Sherif Selim, managing director at SEDCO, says, “We are very pleased with the outcome of this transaction and are excited about the long-term prospects for this asset. We like the Northeast Cook County, one of the most stable and established logistics submarkets in the Chicago area with excellent connectivity to Chicago CBD and the airport.”
The property, which has approximately 11 years remaining on its lease with FedEx, is expected to perform well over the long-term due to strong market fundamentals as well as its ideal location within the Chicago MSA.
“The high-quality nature of this asset together with its ideal location and remaining lease term with a blue-chip tenant made it a very attractive investment opportunity,” says Jim Koman, CEO of ElmTree Funds.
Earlier this year, ElmTree Funds acquired a 220,825-square-foot Pepsi Bottling Distribution Center in Richmond, VA for $25.8 million from Armada Hoffler Properties.