Cap rate compression and low interest rates create new opportunities for local and regional investors
(SEPTEMBER 14, 2016 – Orlando, FL) – McCraney Property Company, a leading developer of modern high-finish industrial properties, completed the disposition of six small-bay industrial buildings spanning 185,768 square feet at Orlando Central Park in Orlando, Fla., for $9,925,000. The dock high and grade level Industrial buildings are located within the Park at 2003 Viscount Row and 1900, 2150, and 2075 Premier Row
This transaction closed less than a week after McCraney Property Company secured a $65 million loan to refinance the company’s legacy assets, which include Orlando Central Park and in total encompass some 1,000,000 rentable square feet of shallow bay industrial throughout Central and South Florida. “This transaction underscores our company’s financial stewardship and continued nimbleness to capitalize on strategic opportunities,” said Steven McCraney, President and CEO, McCraney Property Company. “As we move through the cycle, we are strategically selling assets within our existing smaller shallow bay portfolio to further strengthen our footprint within the larger / big-box e-commerce space.”
While the majority of investors are often thought of as national in nature, there continues to be a very strong contingency of local and regional buyers, seeking smaller industrial portfolios. The evolution of this commercial real estate cycle since the Great Recession has brought a premium to product types and classes that were previously valued alternatively, securing stronger cap rates for product that wasn’t previously afforded or available to non-institutional or large-scale investors.
The most active developer in the niche of Industrial real estate development, e-commerce distribution facilities, management, and private acquisition in Florida’s major markets, McCraney Property Company has developed some 5,000,000 square feet of speculative industrial space. In the past year alone, McCraney Property Company delivered 1,316,920 square feet and broke ground on 1,206,000 square feet in South and Central Florida.
Mike Davis, Executive Director of Cushman & Wakefield of Florida, represented McCraney Property Company in this transaction.
About McCraney Property Company
McCraney Property Company is a leading regional real estate investment firm focused on acquisition, development and management of industrial properties in Florida’s major markets. Headquartered in West Palm Beach, Fla., McCraney Property Company has completed or is under construction on nearly 5,000,000 square feet of speculative industrial space. Its commitment to its clients and proven execution capabilities has positioned the firm to thrive in today’s recovering industrial market. For more information, please visit http://www.mccraneyproperty.com.