STREAM Arranges Sale Leaseback of Eight-Property Multi-State Portfolio

October 3, 2019

Chicago, IL – October 3, 2019 – STREAM Capital Partners, LLC, a national net lease and sale-leaseback advisory group, has arranged the sale and leaseback of eight industrial properties located in Mississippi, North Carolina, Alabama, Arkansas, Florida, Tennessee, Virginia, and Georgia. The total value for the transaction was close to $30 million.

The facilities totaled close to 650,000 square feet under roof on over 150 acres of land and are occupied by Union Corrugating Company, Reeds Metals LLC, and Oakland Metal Buildings LLC. All of the companies are focused on the production and distribution of metal roofs and pre-engineered metal buildings in the Southeast region of the United States. The companies are owned by Industrial Opportunity Partners, a private equity investment group that focuses on investing and growing industrial companies.

The buyer, a public REIT, acquired the properties and simultaneously entered into a long-term lease agreement with the tenant. Jonathan Wolfe and Jordan Shtulman of STREAM Capital Partners represented the seller on the transaction.

Wolfe said that the transaction “attracted interest from several portfolio buyers that were attracted to the real estate due to the strength of the tenant and the equity sponsor.” Wolfe also added that “the industrial sale leaseback market continues to be very strong, attracting many private and institutional buyers that want more exposure to industrial real estate.” 

Shtulman added that he “expect[s] to see more industrial businesses taking advantage of the current frothy industrial sale leaseback market to monetize owned real estate and redeploy capital into their businesses.”