BentallGreenOak has acquired a last-mile delivery facility at 2300 Linden Boulevard & 835 Essex Street in East New York from Turnbridge Equities + Harbor Group International for $46 million. Amazon inked a 10-year lease for the entire 90,000-SF warehouse last year.
- Deal Structure + Flashback: The sellers acquired a ground lease on the property in 2018 for $4.4 million, with an option to purchase underlying ground… BentallGreenOak acquired the ground lease, and is now exercising the purchase option, bringing the valuation to $46 million.
- Stating the obvious: Amazon-leased properties in the New York City area have experienced notable cap rate compression over the past 12 months. The e-commerce giant was attracted to this property’s location, which is within a 30-minute drive to 10.5 million customers.
- Heard on the Street: HGI’s T. Richard Litton, Jr.: “2300 Linden is a prime example of our Last Mile industrial strategy. The property’s irreplaceable location within a 30-minute drive to 10.5m customers and in close proximity to JFK Airport, as well as its large, contiguous warehouse space, made it highly attractive to Amazon.” [PR+TRD]