ProLogis Does Estimated $77M Industrial Deal With AEW

But area brokers familiar with the individual submarkets in Stone Mountain, Fulton Industrial and Northeast, tell GlobeSt.com on condition of anonymity the replacement costs for the 17-year-old, 100%-leased properties would be at least $35 per sf to $45 per sf.

"ProLogis paid a premium for these assets because they are all fully leased and in strategic leasing locations," an Atlanta broker intimate with the deal tells GlobeSt.com. Among the 17 tenants are Home Depot Inc., Tyco Healthcare, Lanier Worldwide and Berlin Packaging.

The buildings are sized from 60,000 sf to 227,600 sf. A ninth 139,000-sf building is also under contract and expected to close by July, area brokers monitoring the submarkets tell GlobeSt.com.

The acquisition boosts ProLogis' presence in the I-20/Fulton and I-85/Northeast submarkets. At I-20/Fulton, ProLogis gains 691,692 sf for a total 4.2 million sf. At I-85/Northeast, ProLogis grows by 434,412 sf for a total 4.6 milion sf.

"I-85 and I-20 are our two largest submarkets in Atlanta," ProLogis first vice president/Atlanta market officer David Welch, says in a prepared statement. The acquistion "supports our strategy to acquire quality facilities that will expand our presence in key submarkets and strengthen our customer base."

The Atlanta office of Trammell Crow Co. represented AEW. K. Dane Brooksher is ProLogis' chairman/CEO.