By Timea Matyas
Plymouth Industrial REIT has acquired a 400,000-square foot, Class A industrial building in Cleveland for $27 million in cash. The property was 100 percent leased to four tenants at the time of sale, including Royal Appliance Manufacturing Co. and Ryder Logistics. The buyer, which recently expanded its Chicago-area portfolio with two manufacturing facilities, has signed an agreement to buy another industrial property totaling 1.1 million square feet in Cincinnati.
Located at 30339 Diamond Parkway, the asset is in Cleveland’s Southeast submarket. Completed in 2007, the cross-docked building features two drive-ins and drive-thru access. Additionally, the property includes 15,801 square feet of office space. Interstates 480 and 271 provide easy access to neighboring cities and Cleveland Hopkins International Airport is within 25 miles.
The Cincinnati acquisition, which is expected to close later this month with a $24.8 million sales price, is set to be funded with the issuance of approximately $10.8 million in operating partnership units and the assumption of roughly $14 million of existing mortgage debt. The property is currently 92 percent leased to 12 tenants and spreads across 103 acres.
“Cleveland and Cincinnati are attractive markets for us. … In addition to the stabilized income from strong current occupancy, the acquisitions offer opportunities to leverage our leasing expertise on future renewals in tight markets, significantly diversify our tenant base and secure future development potential,” Pendleton White, president & chief investment officer of Plymouth Industrial REIT, said in prepared remarks.
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