Griffin Capital Essential Asset REIT II Inc., a publicly registered non-traded real estate investment trust sponsored by Griffin Capital Corp., acquired the FedEx Freight Dual-Hub Facility in the Columbus suburb of West Jefferson, Ohio for $28.0 million. The seller, The Schueler Group of Companies, is one of the largest landowners and property managers in Southwest Ohio.
The FedEx facility is a 160,410-square-foot, Class A truck terminal that was constructed in 2009 as a build-to-suit for FedEx Freight Inc., a wholly-owned subsidiary of FedEx Corporation. The property is leased in its entirety to FedEx Freight Inc. with a parent guarantee from FedEx Corporation, and services the Columbus metropolitan statistical area. It functions as a regional hub for both FedEx Freight Priority shipments and FedEx Freight Economy shipments – one of only 12 “dual hubs” throughout the entire FedEx Freight network.
“The property has unmatched access to and visibility from Interstate 70,” said Shawn Carstens, Griffin Capital’s vice president of acquisitions. “The property is situated 21 miles west of Columbus, Ohio in an area with minimal traffic congestion, and is centrally located to handle less-than-truckload shipments moving to and from the Western, Eastern, Southern, Midwestern, and Northeastern United States. This location is ideal for FedEx Freight’s operations and bodes well for its long-term tenancy.”
Don Pescara, Griffin Capital’s managing director of acquisitions, added, “The acquisition of the FedEx Freight facility represented the opportunity to add another business-essential asset to GCEAR II’s portfolio. The strategic location of the asset and significant infrastructure investments the Ohio Department of Transportation has made in the area, as well as the guarantor’s investment grade credit rating and the tenant’s long lease commitment, were all factors that made this an attractive investment.”
Griffin Capital Essential Asset REIT II Inc. is a publicly registered non-traded REIT with a portfolio that currently includes 15 office and industrial buildings totaling approximately 2.6 million rentable square feet and total capitalization of $383 million.