Somerset Properties

Jacksonville Industrial Portfolio

Jacksonville, FL

Number of Buildings: 8

Property Size: 382,000 SF

Acquisition Date: December/2020

Sale Date: May/2024

Purchase Price: $28,200,000 ($74/SF)

Sale Price: $47,800,000 ($125/SF)

Deal Level IRR: 42.1%

Deal Level Equity Multiple: 2.95x

• A portfolio of eight, single and multi-tenant light industrial warehouse buildings across 382,000 SF located in the Southeast and Westside submarkets of Jacksonville, FL.
• At acquisition in December of 2020, the portfolio were the last assets held by the Seller in partnerships with investors who were older in age and were looking to wind down their business activities. The properties had been operated to maintain occupancy leaving an opportunity to increase rents in most spaces from 5%- 50%. While well maintained, the leasing had been completed "in-house" until the last year when they brought in an outside leasing firm to lease the buildings.
• Performed targeted capital improvements, inclusive of painting, signage, loading dock repairs, landscaping, roofs, and parking lots, aimed at curing deferred maintenance and improving curb appeal.
• Developed and implemented a leasing plan to maximize the rents as demand for space remains high and alternative space in the market is generally not available.