Cole Office & Industrial REIT, a publicly registered non-traded real estate investment trust sponsored by CIM Group, has purchased four commercial properties in the last 30 days totaling nearly $132.1 million from unaffiliated third-party sellers, adding approximately 519,000 square feet of single-tenant net-leased assets to its portfolio.
In January, the REIT purchased 6 Tech Drive in Andover, Massachusetts, a 128,400-square-foot two-story building, for $19.1 million. The building has a long-term lease with Draeger Medical Systems, an international manufacturer of medical, safety and aerospace equipment, and serves as its North American Headquarters. 6 Tech Drive is part of the Andover Tech Center, a suburban office campus, and headquarters for several other technology companies along with an extended stay hotel.
In the last few weeks of December, the REIT acquired three properties including 1740 International Drive in Memphis, Tennessee; 25 Loveton Circle in Sparks, Maryland; and 10330 David Taylor Drive in Charlotte, North Carolina
1740 International Drive is a 238,600-square-foot, nine-story office building, purchased for $78 million. The building is occupied by International Paper Company, a producer of packaging, pulp and paper. This Silver LEED designated building, part of International Paper Company’s global headquarters campus, was constructed for the tenant in 2015 on the 5.10-acre site.
25 Loveton Circle, a 54,800-square-foot, single-story, office and industrial building, was purchased for $9.6 million. The building has a long-term lease with a provider of on-site operations and maintenance for mechanical building systems. Built in 1981 and renovated in 2016, the property serves as the tenant’s national headquarters.
10330 David Taylor Drive is a 97,600-square-foot, three-story building acquired for $25.4 million. The building has a long-term lease with United Rentals, an equipment rental company serving various commercial businesses. The property serves as a regional headquarters for United Rentals.
In other company news, the board of Cole Office & Industrial REIT authorized a $1.03 per share special cash distribution to shareholders in late December, stemming from the April 2019 sale of 18 industrial properties to publicly traded REIT, Industrial Logistics Properties Trust (NASDAQ: ILPT). The transaction included $567.7 million in cash and the assumption of a $57 million loan by the buyer.
Cole Office & Industrial REIT focuses on office and industrial properties that are essential to the daily operations of businesses, including corporate or regional headquarters, regional distribution centers, and warehouses situated near major shipping and freight transport facilities.
The REIT commenced operations in September 2013 and closed its primary offering in September 2016 after raising $672 million in investor equity. Its portfolio totals 2.9 million square feet of office and industrial properties, as of September 30, 2019.