X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

(Read more on the industrial market.)

ROUND ROCK, TX-Making its first mark in Texas, the $1.5-billion STAG Capital Partners Fund III has acquired two single-tenant industrial buildings totaling 173,312 sf in separate deals. The buys put the Boston-based fund on track to meet its $750-million investment goal for this year.

The sale prices were kept confidential, but their combined assessments total $3.5 million. In Round Rock, the fund has bought a 79,180-sf manufacturing, light assembly and warehouse complex on 5.84 acres at 2550 Tellabs Dr. from a local seller, HF2M Inc. The building’s tenant is TriFusion LP, a software company targeting supply chain management services. TriFusion’s lease is set to expire in less than five years.

In Arlington, the buyer has acquired a 94,132-sf warehouse and distribution building on 5.5 acres at 3311 Pinewood Dr. The deal was a sales-leaseback transaction for Red River Warehouse LLC of Shreveport, LA, which inked a 10-year lease to make the close.

Both buildings were constructed in the late 1970s. The Arlington building was renovated in the 1990s. And, neither asset will require major upgrades.

Brad Sweeney, STAG Capital’s vice president of acquisitions, explains both buildings are well located within their submarkets. With the Round Rock purchase, “we feel strongly that there’s a good retention story with that one,” Sweeney tells GlobeSt.com. “It’s home to a growing technology company, and if it leaves the building, location and functionality should assure another tenant.” The Arlington space is a good, straightforward industrial rail-served building, he continues, with clear heights, good docking and effective infrastructure nearby.

Sweeney says that STAG Capital definitely likes Texas. “We have half a dozen transactions in the pipeline we’re looking at,” he adds.

Larry Marks with Betz Commercial Brokerage Inc. of Houston represented the Round Rock seller. In Arlington, Blake Anderson with Dallas-based Staubach Co. negotiated the sale-leaseback.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.