ARLINGTON, TX-Weeks Robinson, an Atlanta-based real estate investment firm, has made its first acquisition in the Metroplex, buying a 505,000-square-foot industrial complex from Panattoni Development Co. The property, Forum 303 Crossing, was 40% occupied at the time of purchase.
The purchase price was undisclosed, but local experts say Weeks Robinson bought the two industrial buildings for less than replacement cost, which would be about $19 million. Weeks Robinson CEO Forrest Robinson tells GlobeSt.com that his firm acquired Forum 303 Crossing in an off-market deal.
Built in 2009, Forum 303 Crossing is still in the process of being stabilized. Robinson says the property represents a value-added opportunity. “We’re going to focus on leasing up the buildings at current market rents,” he says. “We like its location, value and quality.”
Weeks Robinson obtained an acquisition loan from Wells Fargo to make the purchase and used equity from its $45 million co-investment vehicle, Robinson says. The co-investment vehicle is one of two investment vehicles that Weeks Robinson has raised over the past 24 months, sourcing funds from both institutions and high-net worth individuals. The firm also raised a $105 million fund.
Both investment vehicles were created to acquire industrial properties and to develop build-to-suit industrial facilities. However, the fund is focused on properties that are at least 50% leased, while the co-investment vehicle is focused on distressed assets, Robinson explains.
“Given the amount of money we’ve raised, we have the ability buy $320 million worth of assets,” Robinson says, adding that the firm has two and half years to place the money.
The firm is looking at acquisitions in markets in the Mid-Atlantic, Southeast and Southwest. “We’re focused on that crescent from Baltimore/Washington DC, south to Miami, and west to Dallas,” Robinson says. Specifically, the firm’s acquisitions team, led by Martin McFarland, is seeking properties in the target markets of: Miami; Tampa; Orland; and Jacksonville, FL; Charlotte and Raleigh, NC; Atlanta; Memphis and Nashville, TN; and Dallas-Fort Worth and Houston.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
