The acquisition of a Class B multi-tenant industrial property at $105 per square foot, significantly below market value, presents substantial upside potential for future income growth.

Information on the Target

The deal involves the acquisition of a 20,000 square foot Class B multi-tenant industrial property. This property is positioned attractively as it is currently valued at $105 per square foot, which is notably 60% below the average transaction prices observed in recent market activity. Such a significant discount presents a unique investment opportunity for maximizing returns.

Moreover, the existing leases for the property are priced considerably below market value and are set to expire within the next 18 months. This situation creates an advantageous scenario for new lease negotiations, allowing for potential increases in rental income that align with current market rates.

Industry Overview in the Target’s Specific Country

The industrial real estate sector in the country has experienced significant growth in recent years, fueled by a surge in e-commerce and a growing demand for warehouse and dis