AHF Products Lays Down Industrial Portfolio Sale-Leaseback
AHF Products has sold off two Crossville, Tenn., industrial sites totaling five buildings and 919,405 square feet. TPG Angelo Gordon bought the properties in a sale-leaseback transaction; the maker of hard surface flooring will continue to occupy the facilities long-term, with its stay structured under an absolute net-master lease.
Newmark Vice Chairman Andrew Sandquist, Executive Managing Director JC Asensio and Managing Director Briggs Goldberg of the firm’s Capital Markets Group represented the seller and procured the financing.
TPG’s new purchase comes a week after forming a joint venture with Cypress West Partners to purchase up to $300 million worth of medical office properties around the Sun Belt.
AHF makes itself at home
The change of hands took place roughly six months after AHF purchased Crossville Inc., a tile manufacturer which had its headquarters at 349 Sweeney Drive, one of the buildings included in the portfolio. AHF, itself a subsidiary of Armstrong Flooring, now uses the building as a corporate office, manufacturing facility and distribution center.
According to AHF, the purchase allowed the company to make a foray into tiles, offering a line of ceramic, stone and porcelain finishes for its flooring solutions.
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TPG’s new assets are located at 297-349 Sweeney Drive and 301 Porcelain Drive. The former property is a four-building park that totals 348,660 square feet, which includes manufacturing, distribution, showroom and office spaces. 301 Porcelain Drive is a 570,745-square-foot ceramics warehouse also operated by Crossville.
The facilities, located within 2.5 miles of each other, directly face Interstate 40. Downtown Crossville is some 4 miles south. Nashville and Knoxville are roughly 100 and 60 miles to the west and east of the facilities, respectively.
The Volunteer State ups the voltage
Exporting more than $38 billion worth of manufactured goods on a yearly basis, Tennessee continues to attract the attention of domestic and international industrial heavy hitters.
In late February, South Korea’s Hankook Tire announced plans to expand an existing manufacturing plant in Clarksville by 2.2 million square feet. The $1.6 billion project includes the previously planned second phase expansion, as well as an additional third phase, representing the firm’s first production of truck bus and radial tires in the country.
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