Terreno Realty closed on its purchase of a 123-acre development site at Countyline Corporate Park in Hialeah.
The real estate investment trust paid $173.6 million for land on the northern edge of the industrial campus, with plans to develop 10 distribution facilities spanning up to 2.2 million square feet, according to real estate database Vizzda and the buyer’s filings to the Securities and Exchange Commission last month.
The property runs from Northwest 170th Street south to roughly West 114th Terrace, and from Northwest 107th Avenue east to Northwest 97th Avenue.
Miami-based Florida East Coast Industries, parent company of Countyline Corporate Park master developer Flagler Global Logistics, sold the site. The entire Countyline industrial complex runs between Northwest 170th and 154th streets, and between Northwest 107th and 97th avenues.
The purchase is part of Terreno’s real estate shopping spree, which the firm is bankrolling with proceeds from a 5 million share common stock offering estimated to net roughly $312.5 million. The REIT offered shares at $62.50, according to an SEC filing last month that also revealed it had the Hialeah site under contract. The property is one of four planned industrial purchases for a combined $259.5 million that Terreno is financing with proceeds from the stock offering.
Already, a 191,000-square-foot building and a 506,000-square-foot building are under construction on the Hialeah land, and are 30 percent preleased, according to the SEC filing. The entire project is expected to be completed in 2025.
This isn’t Terreno’s first purchase in Countyline Corporate Park, as the REIT owns seven fully leased buildings there. Last year, Terreno paid $73.2 million for the warehouses at 4281 and 4341 West 108th Street. In 2021, it paid $50 million for buildings at 4021 and 4071 West 108th Street.
Led by co-founders W. Blake Baird and Michael Coke, Terreno’s nationwide portfolio spans 15.4 million square feet in over 250 buildings, according to its website. The firm has offices in San Francisco and Bellevue, Washington.
The Hialeah purchase comes as South Florida’s industrial market has softened, with demand easing after two years of leasing frenzy. Yet, investment sales have continued.
This month, Ares Management paid $27.8 million for the newly built Boca Logistics Center, which consists of two warehouses at 644-646 Park of Commerce Way in Boca Raton.
READ MORE LINKS:
https://therealdeal.com/miami/2022/12/16/here-are-south-floridas-biggest-industrial-leases-of-2022/
https://therealdeal.com/miami/2022/12/28/here-are-south-floridas-biggest-industrial-sales-of-2022/