DETROIT—The revival of the US auto industry has begun attracting national interest in many of the companies and properties that service it. W.P. Carey, a New York-based net lease REIT, for example, has just purchased a 75,300-square-foot building, located in suburban Farmington Hills, leased to North American Lighting. NAL designs, manufactures and supplies automotive lighting products for a host of vehicle manufacturers in North America.
Carey completed the $10.2 million acquisition on behalf of CPA(R):18 -- Global, one of its managed REITs. As NAL's technology research center, the property plays a key role in its operations, and the company has a twelve-year, triple net lease.
“This property is an excellent investment opportunity,” says Barry Swatsenbarg, national director of Friedman Integrated Real Estate Solutions, also in Farmington Hills. “It offers investors the unique ability to acquire an exceptional, well-located, and stable suburban office building that is currently 100% leased.” Swatsenbarg and Rich Deptula, senior vice president, represented the seller at auction.
Located at 36600 Corporate Dr. in the Farmington Hills Corporate Campus, a six-building office park totaling 820,000-square-feet, other campus residents include Mercedes Benz and Greenpath Debt Solutions. Amenities include a 25,000-square-foot auditorium and lab space.
W.P. Carey also recently completed the acquisition for about $8 million of two facilities with a total of 210,100-square-feet in Warren and Fraser, MI. Sur-Flo Plastics & Engineering, a subsidiary of the Crowne Group, LLC, has 25-year leases for both facilities. Furthermore, W.P. Carey also bought for $11.3 million two manufacturing facilities, located in Columbus, GA, with a total of 432,800-square-feet, leased to Swift Spinning, Inc. for 20 years. And finally, it bought for $5.8 million a 50,600-square-foot building, located in suburban Norcross, GA, just outside of Atlanta, leased by Automobile Protection Corp. for 15 years. All purchases were done on behalf of CPA(R) :18 – Global.
“With the closing of these four transactions, W. P. Carey continues to grow the CPA(R) :18 -- Global portfolio by sourcing, structuring and executing on a variety of single-tenant property types in diverse industries and locations,” says Gino Sabatini, W. P. Carey managing director. “These recent transactions demonstrate our ability to structure acquisitions involving privately and publically owned enterprises that meet our established investment criteria and support our strategy of generating stable, long-term cash flow for investors."
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Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
