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W. P. Carey Acquires 690K-SF Distribution Facility in Chattanooga
W. P. Carey has acquired a 689,614-square-foot, single tenant distribution center at 960 Wauhatchie Pike in Chattanooga, TN.
Tyler Ziebel, Jack Rosenberg, Fred Regnery, Todd Steffan and Andy Cates of Colliers represented the seller, Kenco Group. According to Colliers, the transaction establishes a record low cap rate in the Chattanooga industrial market and is among the largest ever to close in the MSA.
“Chattanooga has continued to experience extremely healthy user fundamentals throughout the market, particularly for institutional distribution centers of this size,” said Ziebel.
The completion of the multi-stage deal follows the signing of a long-term lease extension and the agreement to a $18-million, 120,000-square-foot expansion funded by WP Carey.
The facility, which features 79 docks, 30’ clear height ceiling and 10,000 square feet of office space, is 100% leased to Chattem Chemicals, Inc., a subsidiary Sanofi Aventis. Once the expansion is complete, the facility will be Sanofi’s largest distribution facility in the world.
- ◦Sale/Acquisition
