Value-Add Buying Plan Gets First 100,000 SF

CARROLLTON, TX-The Dallas-based TIG Financial has picked up a twice-failed sale of a 100,000-sf industrial building to mark its first deed this year for a stepped-up plan to buy one million sf of value-add properties for institutional investors in the next 12 to 18 months.

The 4.5-acre property at 1135 W. Trinity Mills Road in Carrollton was sold by Perkins Paper of Dallas, which first brought the holding to market as its lone tenant, CertainTeed Corp. of Valley Forge, PA, was making plans to buy a 545,700-sf shuttered windshield factory on 147 acres in Sherman, north of Dallas. Contracts fell out not once, but twice, says Tom Pearson, a Dallas senior director for Cushman & Wakefield of Texas Inc., who was ready to bring the listing out again at $32 per sf when he got an e-mail from TIG’s John Walsh. “I called him up and we made a deal,” says Pearson, who was assisted by Lizzy Pappachen from the Financial Services Group.

Assessed at $2.5 million, the 4.5-acre holding, vacated in February, went for less than replacement cost–a criteria of TIG Financial as it ramps up a plan to acquire industrial properties “with issues” targeting the $2.5-million to $10-million range and certainly willing to go less or more to build the value-add portfolio.