Nuveen Pays $90M for Industrial Portfolio
The five-building collection is situated in a supply-constrained market.
Nuveen Real Estate has acquired a fully occupied, five-building infill industrial portfolio totaling 497,875 square feet in Reno, Nev., next to the Reno-Tahoe International Airport. Link Logistics sold the properties for $90.2 million.
The seller was represented by Cushman & Wakefield’s National Industrial Advisory Group, which includes Jeff Chiate, Rick Ellison, Matt Leupold and Aubrie Monahan of the firm’s National IAG—West team, in collaboration with Will Strong, Michael Matchett, Jack Stamets, Molly Hunt and Madeline Warren of the firm’s National IAG—Mountain West team.
Limited industrial inventory in Reno helps to give Nuveen an edge.
The five freestanding buildings at 4681 and 4689 Aircenter Circle and 4745, 4855 and 4980 Longley Lane cover 27 acres. Suites range in size from 19,000 to 153,000 square feet. Features include 24-to-25-foot clear heights, extensive loading capabilities with 68 dock-high and 11 grade-level doors, as well as power to support wide-ranging operational needs.
Nevada’s fast-growing industrial market
Reno’s strong labor pool, industrial demographics and diverse transportation options have made it one of the fastest-growing industrial markets.
“Over the past decade, Tesla and other major companies have transformed Northern Nevada into a hub for e-commerce, logistics and manufacturing,” Bryce Clutts, president & CEO of Reno-based Metcalf Builders, told Commercial Property Executive.
“With large corporations such as Walmart, Google, Apple and Microsoft establishing key operations at the Tahoe Regional Industrial Center—and the many supporting businesses they attract—the demand for industrial and manufacturing development has grown significantly.”
This has become a primary focus for the Economic Development Authority of Western Nevada, as the region works to diversify its economy, he said.
READ ALSO: Industrial Report: Sector Settles After Supply Surge
General contractor Metcalf Builder will break ground next month on its latest industrial development at the Tahoe Regional Industrial Center.
Clutts also highlighted Nevada’s business-friendly economy as a key factor driving companies to relocate or expand to Northern Nevada, particularly in comparison to California.
“The quality of life for employees and the excellent options available in Nevada have been compelling reasons for businesses moving here,” he added.
In July, Barings supplied a $114 million loan to finance Airway Commerce Center, a recently completed warehouse/distribution property in Reno.
Approximately 900,000 square feet, the asset was developed by Tolles Development and its equity partners. Of the four buildings, the largest stands at 435,500 square feet.
Also that month, Clarion Partners acquired the 322,400-square-foot industrial building at 500 Denmark Drive in McCarran, Nev. Pure Development sold the asset for $41.7 million.
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