Vacancy Tightens Across Sector

Global Food Properties, together with its local partner, Avison Young, Atlanta, is delighted to announce the sale of a 102,457 SF frozen production plant in Atlanta’s Fulton Industrial District. The Seller is a New York-based investment company; the Buyer is a private label frozen dessert manufacturer based in the Northeast. The sale included the main plant, an inventory of remaining bakery equipment, and an adjacent land parcel.

Challenge

The partially equipped plant garnered substantial attention, including several failed bids. Identifying demand was not an issue; rather, the challenge was in identifying an end-user able to close quickly, and absorb the remaining equipment included in the sale. Additionally, the 100,000 SF footprint was too limiting for many users, as was the limited availability of on-site frozen storage, particularly for commodity-type products where volume is the only antidote to thin margins.

Outcome

Sourcing a buyer was never a concern; availability is scarce, the sub-market is strong, and the infrastructure is adaptable. The challenge was to strike a balance between maximizing the price, while minimizing carry cost and time-on-market. Towards this end, the outcome stemmed from the focused efforts of Avison Young, Atlanta, a leading regional broker, and Global Food Properties, a boutique dedicated towards food production facilities. The two firms together created a seamless market within and beyond Georgia borders, paving the way for a utopian outcome.

For additional details, please contact: Jeffrey J. Counsell, Co-Founder & Managing Broker, Global Food Properties +1 312 589 8844 / jeff.counsell@globalfoodproperties.com.