A 110,000-square-foot industrial park in Sanford has sold for $13,400,000 amid competition for space in Metro Orlando.
The Vantage Point industrial-flex park at 570 Monroe Rd. northeast of the Interstate 4 interchange at State Road 46, was sold Monday by an affiliate of Miami-based private investor IMC Equity Group, which had purchased the property in 2015 for $9,750,000.
Access to Interstate 4 and State Road 417, as well as the Wekiva Parkway under construction to complete the Western Beltway, benefit Sanford's industrial sector by easing distribution throughout the southeastern U.S., Nicholas Hanson, a senior associate in the Orlando office of Marcus & Millichap, told GrowthSpotter on Tuesday.
"Sanford is no longer a tertiary submarket in Orlando due to its access to a strong labor pool and accessibility to the entire MSA leading many companies to choose it as the location of chose for their northern [Central Florida] operations," Hanson said.
The quartet of tilt-wall, single-story buildings was constructed in 2007 on approximately 9 acres, according to Seminole County records. Marcus & Millichap also worked on financing for the buyer, an unnamed South Florida private investor that Hanson said is making its entry into Metro Orlando.
"Investor demand for industrial assets throughout the whole MSA remains robust -- we are seeing immense competition from both institutional and private out-of-market capital targeting Orlando," Hanson said, citing solid growth fundamentals in addition to location.
Remaining lease terms average three years, Hanson said, with 100 percent occupancy at time of sale. The property's largest building is approximately 37,900 square feet, with the other three approximately 24,000 square feet each.
"The deal attracted a significant and immediate interest from investors across the country looking for superior quality industrial product," said Benjamin H. Silver, first vice president investments, who along with Hanson represented the seller.
"With industrial vacancy rates continuing to decrease throughout the Orlando MSA, investors and landlords will benefit from increased returns as rental rates increase accordingly," Hanson said.
Other recent industrial activity nearby includes the April sale of two Monroe CommerCenter properties totaling nearly 18,000 square feet for a combined $1.5 million to a Dania Beach-based investor and plans submitted to the county by Hickman Enterprises to construct two office/warehouse buildings totaling approximately 11,000 square feet off Evangeline Way, aimed at small-business owners and built to spec for likely more than $1 million.
"In this market, it hasn't taken very long to lease industrial property," Andre Hickman said last month. "It's right at the corner of I-4 and State Road 46. It's across the street from the Seminole Towne Center and there are lots of restaurants. It's a very developed area."