Plymouth Industrial REIT, Inc. recently closed on the previously announced acquisition of a 15-building, 3.-million-square-foot Class-B industrial portfolio in the Chicago area for $99.75 million in total consideration from BIGS Holdings LLC, a subsidiary of Goldman Sachs.
The purchase price includes $19.95 million in cash and a $79.8 million, two-year secured term loan at an initial interest rate of 4.35 percent from an affiliate of the seller. The acquisition is projected to provide an initial yield of 8.1 percent.
Jeff Witherell, chairman and chief executive officer of Plymouth Industrial REIT, said that the trust now owns more than 3.5 million square feet in the greater Chicago market.
The portfolio consists of 10 single-tenant buildings totaling about 2 million square feet, and five multi-tenant buildings totaling about 1 million square feet. The buildings are collectively 96 percent leased to a diverse mix of manufacturing and distribution tenants with strong credit, long histories in their locations and heavy capital investment in their space.
The portfolio is well-balanced with a weighted average lease term of 4.1 years remaining, with an average of less than 14 percent of the leases expiring each year during the next five years.
