(Read more on the net lease market and more on the industrial market.)
NEW YORK CITY-Locally based Angelo, Gordon & Co.'s Net Lease group has acquired a 50% interest in a portfolio of manufacturing facilities net leased to Solo Cup Co. for $65 million. Highland Park, IL-based Solo Cup is a $2.5-billion company focused on the manufacture of disposable foodservice products for the consumer/retail, foodservice and international markets.
The portfolio includes Solo Cup manufacturing plants in Dallas; Chicago; Urbana, IL; Augusta and Conyers, GA; and Federalsburg, MD. Although no addresses could be disclosed, AG Net Lease tells GlobeSt.com that the total square footage is close to 3.5 million sf.
Teddy Kaplan, managing director and co-manager of AG Net Lease, tells GlobeSt.com that this acquisition was a text book acquisition for the company. "As a long-term, buy-and-hold investor of operationally critical corporate real estate, we are delighted to own a 50% interest in one of the most significant manufacturing platforms in the disposable foodservice product space, leased to Solo Cup, the finest brand in the industry."
Kaplan also tells GlobeSt.com that this is a long-term sale-leaseback subject to a 20-year lease. He notes that today's current market situation had no affect on the acquisition because the deal has been in the works for some time now.
Gordon Whiting, managing director and senior portfolio manager of AG Net Lease, says in a release that the transaction demonstrates the company's ability to "partner on large and complex ventures in difficult market environments, requiring our unique combination of credit expertise, principal real estate investment experience, and highly competitive capital structure."
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
