575 Brick Church Park | Nashville, TN
Disposition | Industrial
Building Type: Flex/Warehouse
Square Feet: 51,528
Sold Price: $5,237,500
Price per SF: $102
Contract to Close: 60 Days
- The owner of a special purpose industrial facility located 5 miles north of downtown Nashville, was interested to sell the investment after having owned the facility for 11 years.
- The 51,528 SF building was leased to a single tenant, Fiserv, which used the facility to print credit cards for all the major credit card companies.
- The owner engaged OakPoint to sell the property as soon a five-year lease extension was executed with Fiserv, and given the short-term nature of the extension, it was important for OakPoint to find a buyer quickly before the remaining lease term fell below five years.
- Showing the property to numerous investors would be difficult due to the high security status of the facility.
- OakPoint advised the owner during his negotiation of the lease extension with Fiserv to ensure the final lease agreement would be as attractive as possible to future investors.
- OakPoint developed a marketing teaser brochure and offering memorandum for the property to highlight the credit quality of the tenant, the large investment made by the tenant into the facility over time, and the strong location of the property.
- Within weeks of getting the assignment, OakPoint became aware of a buyer from Chicago that had raised an investment fund and was aggressively trying to single-tenant properties in the Nashville market.
- OakPoint solicited a pre-emptive offer from this investor to buy the property and a strong price.
- The owner decided to accept the pre-emptive offer from the Chicago-based buyer since the price was strong and the proposed timing of the sale was swift.
- After a 60-day contract period, this metal-sided industrial facility, which was built in 1994, sold for $102 per square foot, a very compelling price for a property of this type, age, and lease duration.