Tuesday, January 30, 2018

Updated - More details on the Two Trees Sales, and ... Drones, Anyone?

An updated Real Deal piece on the Two Trees acquisitions with more information on the deal.  Including (my italics):

"The seller (Hamilton Plaza Associates), a joint venture between Meral Property Group and Joyland Group, bought the property for $35 million in 2016."

"The second site, at 118 Second Avenue, is owned by the U.S. Postal Service and Forest City Ratner held the leasehold after entering a 99-year agreement with the postal service in 2003. The nine-acre property is currently home to a Lowe’s Home Improvement Store, whose 20-year lease will expire in 2023."

And a possible use for the properties?

"... with last-mile delivery centers increasingly in demand, many developers are making plays for industrial space, especially in urban centers like Brooklyn"

Further Reading:
Portfolio Sales of Smaller Industrial Properties Surging as Institutional Investors Jump On 'Last Mile' Logistics Bandwagon

"Given how e-commerce has managed to reverse the fortune of these previously overlooked and under-valued warehouse properties, perhaps other down-and-out real estate can be repurposed.
Anyone interested in turning abandoned malls into drone delivery centers for flying packages to online shoppers in surrounding neighborhoods? "

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