CARMEL, IN-BPG Properties acquired a 97,323-square-foot office/warehouse combo from a joint venture managed by a publicly traded REIT. The $3.7 million CRE transaction was made on behalf of a newly formed value-add commercial real estate fund, operating under the name BPG Investment Partnership IX LP.
Prior to closing the sales transaction, the Philadelphia buyer negotiated a 7.5-year, 53,885-square-foot lease with Bell Techlogix Inc. of Indianapolis. The information technology services company plans to relocate and expand its corporate headquarters and service delivery center to the building, located northwest of North Michigan Road and Interstate 465, this coming November.
“The transaction provided an opportunity to acquire a headquarters-quality office/warehouse complex in the affluent city of Carmel at a price approximately 50% below replacement cost,” says Brant Glomb, vice president in BPG’s Chicago regional office in a press release. "By leveraging existing broker and tenant relationships we were able to secure a large tenant under a long-term lease within a very short timeframe.” Glomb oversaw the sales transaction on behalf of BGP.
Jake Sturman and Adam Broderick of Jones Lang LaSalle represented the seller and also represented BPG in the Bell lease negotiation. The tenant was represented by Jeff Harris of NAI Meridian. BPG has named Jake Sturman and his team as the exclusive leasing agents for the complex, which currently has 44,000 square feet of industrial space available.
The 1980s complex is situated on 8.13 acres. The property also includes close to six acres of adjacent land that could be used to expand the existing building.
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