Provender Partners Completes 469,000-SF Tri Temp Industrial Real Estate Portfolio Buy
Nearly $50 million transaction includes assets in Dallas, TX; St. Louis, MO; and Kissimmee, FL
Provender Partners has closed on a 185,569-square-foot cold storage facility in Dallas, TX, the third and final piece of a 469,000-square-foot, tri-temp real estate portfolio acquired from an undisclosed national food service company for nearly $50 million.
The Seller will lease back the three buildings in Dallas, TX; Kissimmee, FL; and St. Louis, MO for the next two years, as it completes construction on three new larger facilities in those markets.
“After demonstrating our ability to execute on the Kissimmee facility earlier this year, the Seller shared their disposition plans and offered us the opportunity acquire the two remaining assets,” said Provender Founder and Chief Executive Officer Neil Johnson. “By structuring the transactions as sale/leasebacks, the Seller now has the runway to phase out of these buildings and into their new facilities, while we receive a steady stream of passive income and make plans to re-tenant.”
The buildings at 5225 Investment Drive, Dallas, TX (189,569 square feet); 3737 N. Broadway, St. Louis, MO (138,282 square feet), and 1700 Avenue B, Kissimmee, FL (145,540 square feet) are strategically located in prime distribution hubs within their respective markets. Each feature an attractive combination of freezer, refrigerated and ambient storage space along with refrigerated docks and clear heights ranging from 30 to 36 feet. All have been well maintained and after a modest capital improvement program they will be extremely desirable to a wide variety of foodservice, grocery and logistics companies, said John Long Jr. Provender Chief Operating Officer.
“While it has been pencils down for most investors, Provender continues to focus on building a multi-billion dollar food-related industrial building portfolio to meet the growing demands being placed on today’s food supply chain,” Long added. “We are confident in our ability to lease up all three buildings quickly and have them ready for occupancy shortly after the buildings are vacated.”
Chris Robinson with Fischer and Scott Delphey with Food Properties Group represented both parties in the portfolio sale.