CIP Real Estate Buys Industrial Portfolio for $74M
In an off-market transaction, the company has acquired two business parks in Tampa, Fla.
5904 Hampton Oaks Pkwy.
CIP Real Estate has completed its $74.3 million off-market purchase of Center Point Business Park and Hampton Oaks Business Park, two East Tampa, Fla., industrial complexes located at 1907-1911 N. 301st Highway 301 and 5903 Hampton Oaks Parkway, respectively.
CIP bought the properties from Albany Road Real Estate Partners. Two teams from Cushman & Wakefield brokered the transaction, marketing the property and procuring acquisition funds through BankUnited. CIP is planning to invest an additional $6.3 million in upgrades and renovations for the buildings over the next two years.
Center Point Business Park was built in 1986, and totals five buildings and 146,229 square feet. Albany Road had acquired the property in 2020, according to CommercialEdge information. The campus’ tenants include TEM Systems, Osprey Construction, AXYZ, and Care Wise, the same data shows.
The Hampton Oaks Business Park was built in 1987, and hosts six buildings totaling 259,543 square feet. Albany Road purchased the park in 2020 for $36.7 million, using a $27.5 million loan from Regions Bank, CommercialEdge data shows. The park’s tenants include PdMA, Numotion, Hivelocity, Affinity Group and Heidt Design.
Both properties feature 37-foot dock heights, 58 grade level and 22 ramp loading depots. Located within 3 miles of each other, both properties are within 8 miles of downtown Tampa, and near numerous highways, including Interstate 75, U.S. Routes 301 and 400, allowing for quick shipping and logistics access to other cities around North and Central Florida.
Cushman & Wakefield Vice Chair Rick Brugge represented the seller, and a debt team consisting of Executive Director Jason Hochman and Director Ron Granite acted on behalf of the buyer.
Tampa’s tepid returns
Despite a slow rent growth rate of 2.2 percent, Tampa has remained a highly sought-after market for industrial investment and development, in part due to its location and an in-migration of workers, according to data from an October 2022 CommercialEdge report. As of September 30, the city had seen $1.1 billion in industrial property sales, with 5.7 million square feet of space in its pipeline, far below that of many other cities in the Sun Belt.
Another high-profile industrial real estate headline in the city is Hines’ ground breaking of the Tampa Commerce Center, a four-building Class A project exceeding 600,000 square feet.
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