Southbridge

Background

FH acquired this asset through an auction process. The site was the home of the Rexnord chain company.

  • Square Feet at purchase on 12/08 193,000
  • Purchase Price $1,000,000
  • Redevelopment Cost $12,000,000
  • Occupancy at Purchase 0%

Value-Creation

FH provided extensive environmental remediation after closing and positioned the property for complete demolition and site prep. Approached Polar Corp to consolidate their various locations onto a single bulk branch.

  • Square Feet at Sale on 9/14 285,432
  • Sale Price $21,500,000
  • Exit Cap Rate 8.25%
  • Occupancy at Sale 100%
  • Unlevered IRR 16%

Polar moved into a 285,000 SF state of the art bulk distribution facility under a ten year lease.

Sold property to Gramercy Property Trust in 2014 who has since been pardoned by Blackstone Group LP.