MEMPHIS, TENN. – December 11, 2019 – A fund sponsored by CBRE Global Investors has acquired two fully leased industrial properties in the Memphis, Tenn. area. These acquisitions are part of a broader strategy of the fund to invest in target industrial markets.
The first property is located at 8331 Frontage Road, situated along Highway I-22 just across the Tennessee State border in Olive Branch, Miss. The 815,050-square-foot building was built in 2018 and is fully leased through 2029 by a leading supplier of personal protective equipment. 8331 Frontage Road is a highly functional cross-docked warehouse, with a 36-foot clear height, 185-foot truck courts, more than 168 trailer spaces and energy-efficient LED lighting.
The second property is located at 291 Norfolk Southern Way in Marshall County, Miss., within the Gateway Global Logistics Center along Highway 72, near the I-269 interchange and adjacent to the Norfolk Southern intermodal terminal. The building spans 1,016,683 square feet and is fully leased by a tire dealership through 2028. 291 Norfolk Southern Way is a cross-docked warehouse and features a 32-foot clear height, 185-foot truck courts, more than 310 trailer spaces and LED lighting. The warehouse was completed in 2018.
“As e-commerce continues to dominate how we shop for goods in the U.S., the demand for high-quality industrial and logistics space will only continue to increase,” said Kim Hourihan, Portfolio Manager of CBRE Global Investors. “Just across the border from Memphis, the Desoto County industrial submarket was ranked third in the nation based on the positive net absorption over the past 12 months. At the end of Q3, the county posted 898,000 square feet of positive net absorption. I believe this shows the continued user demand for warehouse space in the Memphis area, which has become a key market for industrial investment.”
About CBRE Global Investors
CBRE Global Investors is a global real asset investment management firm with $106.2 billion in assets under management* as of September 30, 2019. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBRE). It harnesses the research, investment sourcing and other resources of the world’s largest commercial real estate services and investment firm (based on 2018 revenue) for the benefit of its investors. CBRE Group, Inc. has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com.
*Assets under management (AUM) refers to the fair market value of real asset-related investments with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice and which generally consist of investments in real assets; equity in funds and joint ventures; securities portfolios; operating companies and real asset-related loans. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real asset market, and its calculation of AUM may differ from the calculations of other asset managers.