Tulsa, OK and New York, NY (April 20, 2022) — Newmark announces the $190 million sale of a 1.5 million-square-foot distribution center located on a headquarters campus in suburban Houston, Texas. The property is 100% net-leased on a long-term, absolute triple net-lease basis to Academy Sports + Outdoors—one of the leading full-line sporting goods and outdoor recreation retailers in the U.S.
Newmark Executive Managing Directors Ken Hedrick, Jerry Hopkins and Andrew Ragsdale of the firm’s Net Lease Capital Markets group and Vice Chairman and Head of Newmark’s International Capital Markets Group, Alex Foshay, in cooperation with Managing Director Kristian Nielsen, represented the seller, Tratt Properties in the sale to buyer, Mirae Asset Global Investments of Seoul, South Korea. Vice-Chairmen and Co-Heads Dustin Stolly and Jordan Roeschlaub and Senior Managing Director Nick Scribani of Newmark’s Debt & Structured Finance group facilitated financing on behalf of the buyer.
“Industrial assets occupied by high-credit tenants with strong e-commerce business continue to underlie investor interest in the net lease space,” said Hedrick. “From a logistics perspective, this property is exceptionally well-located, with access to highways in all directions. The scarcity and increasing value of land in the west Houston area further enhance the property’s value.”
The property consists of approximately 1.25 million square feet of industrial warehouse space, 250,000 square feet of flex office space, +/-800,000 square feet of mezzanine space and more than +/-93 acres of land.
“Overseas capital continues to seek out opportunity and attractive returns in non-coastal U.S. markets,” Foshay said. “With demographic and population shifts being a key indicator, Sunbelt markets—like Houston and Texas, overall—continue to grow in market share of foreign direct investment.”
Located at 1800 North Mason Road in Katy, Texas, the facility features immediate access to Interstate 10—one of the premier logistics routes in the U.S., stretching from coast to coast—and Highway 99, which circles Houston and puts all major Texas markets within a four-hour drive.