Industry sources tell GlobeSt.com the portfolio sold for "a little over $100 million." The disposition team, Randy Baird and Jack Fraker of CB Richard Ellis in Dallas, declined to confirm or deny the price. Neither First Industrial Realty Trust nor PREI's in-house representation for the deal, Ryan Smidt and Emily Kell, returned a phone call seeking comment.
Baird suspects PREI is selling the assets in an effort to refine its portfolio and maximize its asset management. "They may just be trying to achieve the right allocations within the portfolio with regard to markets and property types," he says.
About half of the space in the portfolio is subject to lease agreements with at least four years of term remaining, says Baird, and no single asset stands out from the rest. "They are all very functional, well located properties," he says.
With regard to the disposition process, Baird tells GlobeSt.com that the portfolio was taken to market at the start of May and 15 offers came back before the June 2 deadline. CBRE went back to the top five or six bidders for best-and-finals shortly thereafter. First Industrial was selected as the preferred buyer in late June. The transaction closed last week.
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