Canadian-based REIT Granite has acquired 3090 State Highway 42, a 1 million square foot warehouse distribution facility situated on 85.6 acres in the greater Atlanta region, for C$85.9 million (US $68.9 million).
The state-of-the-art distribution facility was completed in 2020 and is 75% leased to Radial, Inc. for a remaining lease term of 7.6 years, subject to contractual annual rent escalations.
The property was acquired at an in-going yield of 3.8% and estimated stabilized yield of 5.0% upon lease-up of the existing 250,000 square feet of vacant space, said Granite REIT in a statement.
The site also contains excess land to accommodate an expansion of approximately 0.3 million square feet. The property is well positioned in Atlanta’s Henry County sub-market within Atlanta’s I-75 logistical thoroughfare, in close proximity to Hartsfield-Jackson Atlanta International Airport, the Norfolk Southern Intermodal Yard and direct access to the Port of Savannah.