CRG announces disposition of $425 million, 4.52 MSF industrial portfolio to PRP

Feb 11, 2022

CRG, the national real estate development and investment firm, announced it has completed the $425.15 million portfolio sale of five new Class A industrial assets, all completed in 2021, to PRP, a Washington, DC-based leading investment management firm focused on credit net lease investments. The properties, all of which are fully leased, are located in metro Houston; St. Louis; Birmingham, Ala.; and Greenville-Spartanburg, S.C.

Totaling over 4.52 million square feet, the properties are leased by companies including an affiliate of Techtronic Industries Co. Ltd., a major international e-commerce user and a leading national home improvement company. The portfolio sale is the largest multi-property disposition by CRG to date and signals the company’s growing reputation with investors and tenants for top sites and high-quality, state-of-the-art warehouse and distribution facilities throughout the country. CRG’s parent company Clayco served as the builder, with its subsidiary Lamar Johnson Collaborative as architect for all of the projects. Four of the buildings were build-to-suits, while the fifth, a 1.4-million-square-foot space in Greenville-Spartanburg, S.C., offering convenient access to the Port of Charleston via Inland Port Greer, was a speculative development that was designed and built using CRG’s proprietary industrial brand, The Cubes.

“PRP is a leading investor in Class-A tenant assets, and its acquisition of these assets – and the high quality of the tenants leasing them – is a testament to our national strategy and vertically integrated planning-design-construction model that allows us to respond nimbly and quickly to opportunities,” said Shawn Clark, president of CRG. “Our business model sets us up for success as investors continue to look for opportunities in this sector. We anticipate record demand for industrial properties in the coming years and are well positioned to deliver modern facilities for our clients.”

CRG broke ground on over $1 billion of new development starts in 2021 in markets nationwide that had vacancies ranging from 0-3% for new, Class A industrial assets – the type favored by major e-commerce and other distributors. CRG has completed, broken ground or planned industrial projects totaling over 50 million square feet nationally. CRG’s industrial brand, The Cubes, offers the state-of-the-art features these companies seek, including 40’ clear heights, ESFR sprinkler systems, large dock and drive-in doors, 185-foot-deep truck courts and plentiful trailer and auto spaces.

The portfolio sold to PRP includes:

Project Name / Location	MSA	Rentable Square Ft. / Acres	Sale Price (in millions)	Tenant Overview
Built-to-Suit Project New Caney, TX	Houston, TX	1,500,400 SF 123.3 Acres	$92.58	Leading National Home Improvement Company
Built-to-Suit Project St. Peters, MO	St. Louis, MO	141,360 SF 36.4 Acres	$43.08	E-Commerce User
Built-to-Suit Project Berkeley, MO	St. Louis, MO	278,670 SF 42.4 Acres	$71.15	E-Commerce User
Built-to-Suit Project Bessemer, AL	Birmingham, Ala.	1,200,540 SF 97.0 Acres	$98.85	Leading National Home Improvement Company
The Cubes at Inland 85 – Building C Greer, SC	Greenville-Spartanburg, S.C.	1,400,480 SF 111.12 Acres	$119.49	Affiliate of Techtronic Industries Co. Ltd.
		4,521,450 SF 410.22 Acres The disposition was led by Esmael Hill, managing principal of Atlanta-based investment advisory and brokerage firm Net Lease Group, with a team including Philip Wickstrom, Rick Ross, Mark Lewensohn and Ross Wood, who assisted throughout the transaction from construction to completion. In addition to leading the disposition, Net Lease Group arranged the equity capitalization for the construction and development of the assets.	$425.15