By John Brasier, Triad Business Journal
A major industrial real estate investment firm that specializes in last-mile distribution facilities has purchased a 304,200-square-foot Triad property.
Dalfen Industrial of Dallas has purchased the Union Cross Distribution Center at 100 Enterprise Park Blvd. in Winston Salem. According to Forsyth County records, Dalfen paid $23.8 million to seller to Winston-Salem’s Silver Oak Properties LLC, managed by Bruce Brown, Henry Brown III and the Kathryn Brown Marital Trust.
Silver Oak paid $12.32 million for the property in August 2016. The facility was built on 20 acres in 2006.
The property has been leased by Twin City Warehouses. According to a Dalfen release, the current tenant is paying below market rent. Neighbors include FedEx (NYSE: FDX), Amazon (NASDAQ: AMZN), Caterpillar (NYSE: CAT), Proctor & Gamble (NYSE: PG) and PepsiCo. (NASDAQ: PEP).
The property is only one mile off Interstate 74, south of Union Cross Road and west of Wallburg Road in a growing industrial area. In March, Triad Business Journal reported that Upland Development Co. planned a 110,000 SF spec building at 475 Enterprise Park.
“Sourced off-market and below replacement cost, Union Crossing Distribution Center is a great addition to our North Carolina portfolio,” said Kevin Caille, market officer at Dalfen Industrial. “The vacancy rate in this market is a tight 2.3% due to continued and strong tenant demand which is expected to continue.”
Dalfen Industrial owns close to 3 million square feet of industrial properties in North Carolina, the majority in the Charlotte market. In the Triad, it also owns a 107,480-square-foot industrial property at 4160 Mendenhall Oaks Parkway in High Point.
“The demand for industrial properties in North Carolina continues to outpace supply,” said Sean Dalfen, president and chief investment officer for Dalfen. “We have had tremendous success in the Carolinas and are always looking for the next opportunity to expand our footprint in this market.”