Gramercy Buys $24M Distribution Facility; Fortune 500 Company Signs 414KSF Lease
By Eliza Theiss, Associate Editor
Gramercy Capital Corp. has announced closing on the acquisition of an Olive Branch, Mississippi distribution facility for $24.65 million in an all-cash transaction. The Class A industrial facility is 100 percent leased through December 2022. The property also includes an adjacent 13.8-acre site capable of holding a second, 250,000-square-foot facility.
The Memphis Daily News identified the 605,427-square-foot property as Hacks Cross Logistics Center Building 1. According to the publication, Hillwood Investment Properties sold the building fully leased to value retailer Five Below Inc., based in Philadelphia.
New York-based Gramercy Capital, a self-managed, integrated commercial real estate investment and asset management company, owns directly or in joint venture a 116-property office and industrial portfolio totaling circa 4.9 million square feet, net leased on a long-term basis to entities that include Bank of America and Philips Electronics.
In other news, Fortune 500-listed TJX Companies, Inc. has signed a lease for all unoccupied space in the Southeast Memphis Chickasaw Distribution Center Building D. According to the Memphis Business Journal, TJX will move into the space in several phases. During phase one, TJX will take up 207,024 square feet during the first 18 months. The remaining space of the total 414,504 square feet will be taken up afterwards.
TJX’s move is expected to generate 40 new jobs. The company intends to invest around $1 million to upgrade the facility and a further $5.9 million on equipment. TJX is seeking a Memphis-Shelby County Economic Development Growth Engine tax abatement for the project.
TJX is a leading off-price retailer of home fashions in the U.S. and worldwide. Ranking at 125, The Fortune 500 company operates under the TJ Maxx, Marshalls and HomeGoods brands in the US market.
Photo courtesy of the TJ Maxx Facebook page
Chart courtesy of CBRE MemphisTags: acquisition, economy, leasing, Policy, property management