LAWRENCE, KS-A Chicago-based real estate investor has refinanced the 404,000-sf Amarr Garage Doors distribution center here for $14.4 million, about a 65% loan-to-value deal. The property at 3300 Greenway Circle, which has served as the Winston-Salem, NC-based company's Midwest distribution center since it moved into the build-to-suit facility in 1989, was appraised at $22 million. The company also has a 250,000-sf manufacturing facility in the city.
Ben Greazel, a director for Cohen Financial, says the investor received a non-recourse loan at 10 years interest only. He says he cannot reveal the investor, but says the lender is Prudential. Greazel says the company added space onto the property for expansion in 1995 and 2005.
He says the lender was satisfied with the deal because the market and the tenant are strong, and demand is high. "It's a good functional building," Greazel tells GlobeSt.com. "If for some reason Amarr had to leave, the owner could retain another tenant easily." He says the lease rate for the property is at $3.95 per sf. The average industrial asking rent for nearby Kansas City, MO is at $3 per sf, according to a first quarter market report by Grubb & Ellis.
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