Acquisition makes HSA a major player in the Memphis commercial market
March 12, 2007
(Chicago – March 12, 2007) Jack Shaffer, chairman, HSA Commercial Real Estate, announced that the firm has made a major acquisition of 17 industrial properties totaling over 1.9 million square feet in Memphis, Tenn. Located in two attractive business parks, the facilities offer warehouse, distribution, and flex office space. HSA now owns over 2,200,000 square feet of property in the Nashville and Memphis markets of Tennessee.
The buildings, located in Willow Lake Business Park and Corporate Park/Hickory Hill, are in densely built-out commercial nodes with close proximity to Memphis International Airport and an abundant labor pool. With 55 tenants, this portfolio provides HSA with the unique ability to generate a multitude of new real estate opportunities including expansions, build-to-suits, and building sales.
The properties are over 85% leased to such credit-worthy tenants as International Paper Company, Federal Express, Fujitsu Computer Systems, Sears Home Improvement Products, M&M Aerospace, The Terminex International Company, Dynamic Tire and NetFlix. HSA also acquired 14.84 acres of vacant land in Willow Lake Business Park earmarked for future development.
The properties are in excellent condition and consist of concrete tilt-wall construction with brick veneer. All of the properties were constructed since 1979 and have been maintained at the highest standard by the previous owner, a publicly traded REIT. The seller was represented by CB Richard Ellis, Atlanta, Ga. HSA's Dan Miranda, president, and Eric Ogden, senior vice president, led the team that identified and negotiated the acquisition of this portfolio. Melissa Pielet, executive vice president of finance, arranged for the financing with Countrywide Commercial Real Estate Finance and Guaranty Bank.
The properties are located at:
HSA will manage the properties out of their corporate headquarters in Chicago with the local help of Colliers Management Group in Memphis. Colliers has also been awarded the leasing duties for all the properties, except for 3696 Knight Road which is being handled by NAI SAIG, also of Memphis.
With this acquisition, HSA continues its nationwide strategy of acquiring value-added properties, making it one of the largest industrial owners in the nation, with 14 million industrial properties in its portfolio.
Celebrating 26 years of excellence in commercial real estate, Chicago-based HSA Commercial Real Estate is a full-service real estate firm specializing in office, industrial, retail and health care real estate leasing, management, marketing, development and financing on a national basis. The firm and its principals have developed and acquired more than 30 million square feet of commercial real estate across the United States with total consideration in excess of $1.5 billion, its brokerage divisions have completed more than 7,000 transactions in 43 states representing both owners and tenants, while the asset management division currently manages a property portfolio in excess of 15 million square feet in 12 states and the firm presently owns nearly 17 million square feet of commercial property in 14 states.
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