$300M Fund Rolls Out With Florida Purchase

"We've been doing this every three to five years since 1990. We have a lot of repeat investors, and as we close other funds, investors like to reinvest in new ones," says Joanna Banks-Morgan with AIC's investor relations department. The asset requirements for NL Ventures Fund VI are similar to those for Fund V, notably, office, industrial or warehouse product in the US and sales-leaseback arrangements with long-term, absolute net leases. The funds target deals from $4 million to $45 million. AIC also prefers non-marketed acquisitions. "We typically leverage a third equity to two-third debt," says ACI partner David Robshaw.

Robshaw tells GlobeSt.com that the AIC funds typically have a three- to five-year life span, but NL Ventures V closed a little ahead of schedule with the purchase of the 239,000-sf, four-building manufacturing site of Detroit-based FormTech Industries LLC. Its complex at 19001 Glendale St. was built in the 1950s on 13.52 acres.

"There are, at times, upgrades done on most assets in the funds, but they're typically tenant-driven," Robshaw explains. "If they want to expand or improve, we're there to assist." He adds that AIC's strategy is to hold an asset for two to four years then liquidate it either through individual or portfolio sale.

To launch the new fund, AIC has acquired a two-building, 83,000-sf complex leased to New River Cabinet & Fixture in Fort Lauderdale. The headquarters and production shop at 700-50 NW 57th Court was developed on 3.3 acres in the 1960s. Extensive remodeling took place on the facilities in the wake of the 2005 Hurricane Wilma.