Blackstone subsidiary Link Logistics has divested three significant industrial parks in the Orlando area, with transactions totaling more than $250 million. The buyers are real estate investment firms based in Dallas and Los Angeles, continuing a trend of Link Logistics selling off Florida assets. This move underscores the robust demand for industrial and logistics properties in the Central Florida market.
Key Takeaways
- Link Logistics sold three Orlando-area industrial parks for over $250 million.
- Buyers include Dallas-based Swift Creek Real Estate Partners and Los Angeles-based Ares Management.
- The sales are part of a larger divestment strategy by Link Logistics in Florida.
- The Orlando industrial market shows strong performance, particularly in submarkets with limited new supply.
Transaction Details
In recent transactions, Link Logistics sold the Crossroads Distribution Center for $98.45 million to Crossroads Holding FL, LLC, an entity associated with Dallas-based Swift Creek Real Estate Partners. Financing for this deal was provided by Hartford Fire Insurance Company.
Simultaneously, Ares Management, a global alternative investment manager from Los Angeles, acquired Axcess Park @ 33rd and three adjacent land parcels for $92.9 million. This acquisition was financed by Syracuse Fund V Lender Sub LLC, an entity linked to Ares. Axcess Park is situated in Orlando’s 33rd Street/McLeod submarket, known for high average asking rents and constrained supply.
Additionally, Ares Management purchased another Link Logistics property at 13201 S. Orange Ave. for $77.8 million, identified as Cornerstone Logistics Centre. This transaction also utilized financing from an Ares-affiliated lender.
Market Context
These sales highlight the continued strength of the Orlando industrial real estate market. The 33rd Street/McLeod submarket, where Axcess Park is located, has experienced significant rent growth due to a lack of new industrial product delivery in recent years. Link Logistics remains a major player in Central Florida, with a substantial portfolio of industrial properties across the region.
Property Overviews
- Crossroads Distribution Center: This facility is strategically located near major expressways. The properties include multiple warehouse buildings with various tenants in the transportation, logistics, and building materials sectors.
- Axcess Park @ 33rd: Comprising several buildings constructed in 2021, these properties are zoned for industrial park use and house tenants offering services like office installations, HVAC, plumbing, and countertop fabrication.
- Cornerstone Logistics Centre: This large property features a substantial warehouse building with tenants including Whirlpool Corporation and Kenco Group. It is zoned as a Planned Development.
These transactions reflect the ongoing investor interest in well-located industrial assets that support distribution and logistics operations, particularly in high-growth markets like Orlando.
Sources
- Firm sells 3 Orlando-area industrial parks for more than $250M, GrowthSpotter.