375 Distribution Circle
Introduction
Equity Industrial Partners (EIP), a leading industrial real estate investment and development firm, demonstrated their expertise in value-add opportunities with the successful acquisition and development of the property at 375 Distribution Circle in Fairfield, OH. This case study highlights EIP's strategic vision and commitment to transforming industrial spaces through significant property improvements and successful leasing agreements.
Acquisition and Sale-Leaseback with Toys R Us
In 2000, EIP acquired the property at 375 Distribution Circle as part of the Toys R Us Portfolio through a sale-leaseback arrangement. This strategic acquisition allowed Toys R Us to free up capital while continuing to occupy the property as a tenant. EIP recognized the value-add potential of the land and set out to enhance the property for future leasing opportunities.
Gut-Renovation and Lease with International Paper
In 2009, EIP undertook a major gut-renovation of the building and white boxed the premises, preparing it for a new lease with International Paper, now known as Veritiv. The gut-renovation involved extensive interior improvements, creating a flexible and modern space that could cater to the needs of potential tenants.
As part of this renovation, EIP added and upgraded 50 dock doors, enhancing the logistics capabilities of the property and making it even more appealing to potential occupants.
Lease Success with Westrock
In 2019, EIP executed a significant lease agreement with Westrock, a prominent packaging solutions provider. As part of this lease-up process, EIP invested approximately $200,000 in landlord's work to further improve the property for Westrock's occupancy. The improvements included crack-sealing the parking lot, conducting dock door repairs, and upgrading the lighting, creating a safe and efficient environment for the tenant.
Success Story: A Transformed Industrial Facility
The case study of 375 Distribution Circle exemplifies Equity Industrial Partners' prowess in industrial real estate investment and development. The strategic acquisition, gut-renovation, and leasing triumphs with International Paper and Westrock showcase EIP's commitment to delivering value and excellence to their tenants.
Conclusion
Equity Industrial Partners' successful transformation of 375 Distribution Circle into a modern and thriving industrial facility highlights their expertise in value-add real estate investment and development. The strategic acquisition, extensive property improvements, and leasing success with International Paper and Westrock demonstrate EIP's dedication to creating premier industrial spaces. By investing in significant property enhancements and securing high-profile tenants, EIP has solidified their position as a trusted leader in the industrial real estate market, providing superior value and performance for their portfolio.
