How Active Acquirers Think
Like serial daters, active buyers think creatively and use broad parameters when searching for their match. Luckily, real estate allows for multiple soul mates and no â€œâ€™till death do us partâ€ commitment.
With a focus on everything from existing small shallow bay product to developing a 1M SF distribution center, KTR Capital Partners picked up five new properties and some development land this year and boosted its Chicago industrial portfolio to 12M SF. (It would be a safe bet to avoid playing these guys at Risk.) It's latest buy, 2605 and 2640 White Oak Circle in Aurora, totaling 109k SF, was an off-market opportunity in the booming Fox Valley/I-88 corridor submarket, VP of investments Ryan Stoller, who's looking forward to a family trip to Florida over the holidays, tells us. The seller, REM Builders, was repped by CBRE's David Prioletti, and built the two multi-tenant Class-A, shallow bay distribution buildings in 1998, within the White Oak Business Park.
KTR's bullish on the deal because 10k SF to 20k SF tenants are a rapidly improving sector within industrial, and those companies are finding options increasingly limited, Ryan says. Not to mention vacancy is at a 10-year low in the Aurora submarket, and at 7.46% in Fox Valley as a whole, he adds. The properties are currently 57% leased, with METTLER TOLEDO a primary tenant, and capital improvements will include repaving the parking lots, painting, and new T5 lighting. KTR just completed raising its third fund, $1.2B of equity (or $3.5B of buying power), and Chicago will remain a primary market for acquisitions next year.