Joint Venture Buys Greater Indy Industrial Portfolio

A 315,000-square-foot space will be available on May 1 at 3100 Reeves Rd. in suburban Plainfield, IN.

INDIANAPOLIS—OVB Indianapolis Industrial, LLC, a joint venture between Biynah Industrial Partners and Olympus Ventures, has just purchased eight modern bulk buildings totaling more than 3.8 million square feet and a 42-acre land site in the Indianapolis area. As reported in GlobeSt.com, in the past few months leasing has started to pick up in this quite robust market, and the joint venture partners have selected Cushman & Wakefield's senior managing director Michael W.M. Weishaar and associate Scott O'Neil to lease the properties. 

“The Weishaar | O'Neil Team are consummate professionals and well-respected within the Indianapolis brokerage community,” says Andy Bennett of Biynah, a Minneapolis-based private equity firm. “We have the utmost confidence in their abilities and know that our current and future tenants will find them a great group to work with alongside the new owner.”

The seller was represented by a JLL team that included international director John Huguenard, senior vice president Sean Devaney and vice president Ed Halaburt. The buyer represented itself.

Some of the buildings were constructed in the 90's and the newest building in the portfolio was a speculative project built in 2012, a C&W spokesperson tells GlobeSt.com. Most are within the region's Southwest submarket, including four in Airwest Industrial Park; two buildings and the vacant land site in the AmeriPlex-Indianapolis complex, a 1,500-acre mixed-use development project; and an additional building on South Girls School Rd. near the Indianapolis International Airport. The remaining building is located in suburban Brownsburg just west of the city. Top national tenants such as OHL, Sur La Table and the US Postal Service, to name a few, occupy these facilities.

According to a new report from JLL, in 2015 developers finished about 6.0 million square feet of new construction in the Indianapolis metro area, slightly less than the 6.4 million square feet completed the previous year. And about 40% of the new space was leased at delivery. The vacancy rate did increase from 6.3% to 8.2%, but total net absorption for the year was 5.2 million square feet, a significant increase over 2014, when tenants absorbed 4.2 million square feet. Furthermore, over the past 12 months, rental rates increased 7.3%.

While most buildings in the joint venture's new portfolio are occupied, 216,600 square feet at 7452 Tempelhof Dr. and the 42 acres of vacant land at Decatur Blvd. and Thompson Rd., both located in Indianapolis, are immediately available. Another 315,000-square-foot space will be available on May 1 at 3100 Reeves Rd. in suburban Plainfield. Both facilities feature cross-dock configurations, modern lighting and quick access to the I-465 and I-70 corridors, as well as close proximity to the FedEx hub at the airport.

“We have a successful, long-standing relationship with Biynah, including current listing assignments in the Northwest and East submarkets,” says Weishaar. “We couldn't be more pleased to assist them once again with best-in-class marketing services for this portfolio.”

A 315,000-square-foot space will be available on May 1 at 3100 Reeves Rd. in suburban Plainfield, IN.

INDIANAPOLIS—OVB Indianapolis Industrial, LLC, a joint venture between Biynah Industrial Partners and Olympus Ventures, has just purchased eight modern bulk buildings totaling more than 3.8 million square feet and a 42-acre land site in the Indianapolis area. As reported in GlobeSt.com, in the past few months leasing has started to pick up in this quite robust market, and the joint venture partners have selected Cushman & Wakefield's senior managing director Michael W.M. Weishaar and associate Scott O'Neil to lease the properties. 

“The Weishaar | O'Neil Team are consummate professionals and well-respected within the Indianapolis brokerage community,” says Andy Bennett of Biynah, a Minneapolis-based private equity firm. “We have the utmost confidence in their abilities and know that our current and future tenants will find them a great group to work with alongside the new owner.”

The seller was represented by a JLL team that included international director John Huguenard, senior vice president Sean Devaney and vice president Ed Halaburt. The buyer represented itself.

Some of the buildings were constructed in the 90's and the newest building in the portfolio was a speculative project built in 2012, a C&W spokesperson tells GlobeSt.com. Most are within the region's Southwest submarket, including four in Airwest Industrial Park; two buildings and the vacant land site in the AmeriPlex-Indianapolis complex, a 1,500-acre mixed-use development project; and an additional building on South Girls School Rd. near the Indianapolis International Airport. The remaining building is located in suburban Brownsburg just west of the city. Top national tenants such as OHL, Sur La Table and the US Postal Service, to name a few, occupy these facilities.

According to a new report from JLL, in 2015 developers finished about 6.0 million square feet of new construction in the Indianapolis metro area, slightly less than the 6.4 million square feet completed the previous year. And about 40% of the new space was leased at delivery. The vacancy rate did increase from 6.3% to 8.2%, but total net absorption for the year was 5.2 million square feet, a significant increase over 2014, when tenants absorbed 4.2 million square feet. Furthermore, over the past 12 months, rental rates increased 7.3%.

While most buildings in the joint venture's new portfolio are occupied, 216,600 square feet at 7452 Tempelhof Dr. and the 42 acres of vacant land at Decatur Blvd. and Thompson Rd., both located in Indianapolis, are immediately available. Another 315,000-square-foot space will be available on May 1 at 3100 Reeves Rd. in suburban Plainfield. Both facilities feature cross-dock configurations, modern lighting and quick access to the I-465 and I-70 corridors, as well as close proximity to the FedEx hub at the airport.

“We have a successful, long-standing relationship with Biynah, including current listing assignments in the Northwest and East submarkets,” says Weishaar. “We couldn't be more pleased to assist them once again with best-in-class marketing services for this portfolio.”