KATY, Texas – (Realty News Report) – Two large Amazon warehouse properties in west Houston have changed hands.
ONE: WSRE CP CLAY Owner LP, an entity affiliated with Walton Street Capital, purchased an 806,000-square-foot Amazon distribution building on Clay Road in Katy, near the Grand Parkway.
TWO: In a separate transaction, Exan Capital, a Miami-based investment firm, acquired a 1,000,000-square-foot Amazon fulfillment center located at 31555 Highway 90 in Brookshire.
Both buildings were developed and sold by Duke Realty, an industrial real estate investment trust. These transactions were first reported in the Realty News Report newsletter.
The JLL Capital Markets Investment Sales Advisory team representing Duke Realty included Trent Agnew, Rusty Tamlyn, Charles Strauss, Tom Weber and Jack Britton.
For the Walton Street Capital acquisition, JLL’s Capital Markets Debt Placement team represented the buyer. The team was led by Senior Managing Director Colby Mueck, Senior Director Michael Johnson and Analyst Molly Leinsdorf. JLL arranged a floating-rate acquisition loan through Wells Fargo Bank.
“The industrial sector continues to be one of the most desirable asset classes for both investors and lenders,” said Michael Johnson of JLL. “The combination of an excellent credit tenant and a best-in-class buyer created strong execution with Wells Fargo on the acquisition financing.”
The rapid shift to e-commerce, accelerated by the COVID-19 pandemic, has driven sustained growth in the industrial property market. JLL projects e-commerce sales could reach $1.5 trillion by 2025, which in turn could drive demand for roughly an additional billion square feet of industrial space.
E-commerce is producing a record-setting boom in America’s warehouse sector: recent industry reports show projects totaling approximately 330 million square feet—about 7,575 acres under roof—are currently under construction. Amazon has been a major contributor to that growth, with roughly 1,000 new projects reported in its immediate pipeline.
“Single-tenant industrial assets with long-term leases to credit tenants continue to attract significant interest from a wide range of investors,” said Trent Agnew.
The Walton Street Capital property sits on 54.2 acres. The cross-dock facility features concrete tilt-wall construction, a 40-foot clear height, a 190-foot truck court, extensive vehicle and trailer parking, 190 dock-high doors, ESFR fire protection and LED lighting.
Feb. 10, 2021 Realty News Report Copyright 2021
File: Solid Gold: Amazon Warehouses
Photo courtesy JLL
File: (2) February 2021. Solid Gold: Amazon Warehouses Sold in Houston. JLL. Wells Fargo. Duke Realty.