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Morgan Stanley Pays $343M for 1.3 MSF National Portfolio

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The sale-leaseback deal involved four assets across four markets. The post Morgan Stanley Pays $343M for 1.3 MSF National Portfolio appeared first on Commercial Property Executive.

Exterior image of an industrial building at 21800 Authority Way in Riverside, Calif. — The 2019-built facility at 21800 Authority Way in Riverside, Calif., is the largest of the four that changed hands, at 620,000 square feet. *Image courtesy of CommercialEdge*

Morgan Stanley has paid approximately $343 million to Nissan North America Inc. for an industrial portfolio, according to CommercialEdge information.

The sale-leaseback deal included four buildings located in the Inland Empire, New Jersey, Dallas-Fort Worth and Chicago markets.

The four facilities identified by CommercialEdge are:

21800 Authority Way, a 620,000-square-foot Class A property built in 2019 in Riverside, Calif.
1501 Cottontail Lane, a 1988-built, 307,359-square-foot Class B facility in Somerset, N.J.
4400 Regent Blvd., a Class B building that came online in 1987, totaling 232,022 square feet in Irving, Texas.
600 Enterprise St., a 180,262-square-foot Class B property completed in 1985 in Aurora, Ill.

Morgan Stanley paid $145.1 million for the Somerset property, the largest price out of the four. The Riverside asset traded for $132.1 million, the Irving one for $44 million, while the Aurora building changed hands for $21.8 million.

All four assets are one-story properties and encompass nearly 93 acres. Nissan North America Inc. leased back the facilities and will continue to use them for the next 12 years, according to Los Angeles Times.

The buildings include ESFR sprinkler systems, sky lights, dock levelers and bumpers as well as dock-high and grade-level doors. Encompassing a total of 861 vehicle parking spots, each property also includes ample truck courts, while two assets also feature office components.

Portfolio deals spice up first quarter sales

Some notable portfolio transactions closed in the first quarter, contributing to the overall strong start to industrial investment this year. In February, Investcorp paid $335 million for a 27-property collection encompassing 2.7 million square feet in Minneapolis and Baltimore.

Last month, funds affiliated with Blackstone Real Estate agreed on a $718 million price tag for a 6 million-square-foot portfolio. The entity took a 95 percent stake in the 25-building collection, primarily situated in high-barrier Texas markets.

Investors traded $11.7 billion in industrial assets in the first quarter of this year, a recent CommercialEdge report shows. Properties changed hands at an average of $125 per square foot nationwide, while New Jersey led activity, with $832 million in sales.

The post Morgan Stanley Pays $343M for 1.3 MSF National Portfolio appeared first on Commercial Property Executive.