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Gladstone Pays $63M for Milwaukee-Area Industrial Asset

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The property is fully leased through 2044. The post Gladstone Pays $63M for Milwaukee-Area Industrial Asset appeared first on Commercial Property Executive.

Gladstone Commercial Corp. has acquired a 303,991-square-foot industrial property in Germantown, Wis., for $62.7 million. The asset traded at a weighted average GAAP capitalization rate of 8.74 percent.

Briohn Building Corp. previously owned the building, according to CommercialEdge information. The developer constructed the temperature-controlled facility on a build-to-suit basis for a pet food manufacturer, which fully leased the property through 2044.

The building initially debuted in 2023, however, Briohn Building expanded it by 131,000 square feet one year later, bringing the facility to its current size. Features include specialized freezer and cooler storage. The tenant, California Pet Partners, utilizes the premises to manufacture and distribute freeze-dried raw pet food for cats and dogs.

Located at W206 N12880 Gateway Court, the property is roughly 21 miles northwest of downtown Milwaukee. Interstate 41 and U.S. Route 45 are within roughly 3 miles, while the Milwaukee Mitchell International Airport operates some 28 miles away.

Gladstone bets on net-leased properties

Gladstone focuses on acquiring net-leased industrial and office assets throughout the U.S. In March, the company’s footprint comprised 141 properties encompassing 17.3 million square feet.

During the first three months, Gladstone expanded its portfolio by 2.1 percent as it acquired six fully occupied commercial real estate properties encompassing 355,778 square feet for a total investment volume of $73.7 million.

One of its first quarter acquisitions was another food processing facility, this time in Dallas. Gladstone paid $44 million for the 140,304-square-foot asset leased to two meat processing tenants. Bandera Ventures sold the property, CommercialEdge shows.

Industrial investment spikes in metro Milwaukee

Industrial investors kicked off the year by trading 3.4 million square feet of product throughout metro Milwaukee during the first three months of 2025, according to the same source. This figure marked an impressive 164 percent growth year-over-year and a 46.3 percent increase quarter-over-quarter.

The industrial investment volume clocked in at $112.2 million year-to-date through March, marking a 63.8 percent spike compared to the same period of last year, CommercialEdge shows. However, the volume was also down 10.7 percent quarter-over-quarter.

The post Gladstone Pays $63M for Milwaukee-Area Industrial Asset appeared first on Commercial Property Executive.