272,0000 sf on 25 acres
Whitsett, NC
$13 million investment
In 2006 the Development Team saw a shortage of available industrial space in the Piedmont Triad that was more pronounced in Guilford County. The solution was to develop a 272,000 sf warehouse/distribution facility building that would be easily subdivide into 4 – 68,000sf sections.
The Team worked with Landmark Construction to perform this project as a design/build. In order to maximize the square footage under roof, the design called for a rear-loaded tilt up building with 4 office entrances on the front. The building would have a 28 foot clear ceiling heights with ESFR sprinklers.
Construction began in _________ with substanstial completion of the shell space by _________, just in time for the Great Recession. Everyone has projects that are more difficult than others, this one was such a project. Working with the lender during this period was the most tryng but educational experience. However, the Development Team never missed a payment and maintained a cooperative relationship throughout the process.
The building attracted the attention of Precor in 2008, however their specification called for a cross-docked facility. That project was eventually awarded to Rock Creek.
The first Tenant (SPG/Paperworks) did not occupy the building until 2011, initially occupying 102,000 sf. One year later, SPG/Paperworks doubled their needs and took an additional 102,000 sf.
In 2013 Lenovo leased the remaining 68,000 square feet, so that the building could boast 100% occupancy.
The Development Team decided to sell the property to take advantage of the low capitalization rates. The property sold in 2013 for $14,300,000 (6.75% cap) generating a profit for the investors despite the Great Recession.
