W. P. Carey Buys Pratt Plant in Lewisburg For $21M
- Nov 25, 2014
W. P. Carey has completed the $21 million sale-leaseback acquisition of Pratt Industries Inc.’s new manufacturing facility in Lewisburg, about 30 miles from Dayton. Pratt, one of the nation’s largest corrugated packaging companies, will lease the building on a long-term basis.
W. P. Carey’s newly acquired 356,000-square-foot plant is located at 301 West Clay St. It was custom-built to fulfill all of Pratt’s corrugating and box manufacturing needs, and the manufacturer spent approximately $35 million to equip it. In a statement released Nov. 14, W. P. Carey called its new acquisition Pratt’s “newest and most efficient corrugating facility nationwide.”
Pratt was represented in the sale-leaseback by JLL. According to John Simcoe, Division President of Pratt Properties, the transaction supports the manufacturer’s current growth strategy, allowing it to unlock capital from a core asset and use it in other operations.
“This sale-leaseback with Pratt is consistent with W. P. Carey’s strategy of investing in long-term, single tenant assets that are critical to a tenant’s business. Given the long-term lease, the criticality of the asset and Pratt’s additional capital investment in the equipment housed in the facility, we are pleased to add this asset to our portfolio,” said Kathleen Barthmaier, a W. P. Carey executive director, in a statement.
The plant opened this September. According to Cassidy Turley’s latest industrial market report, it was one of six projects delivered to the Dayton market during the third quarter. Together, they totaled 426,000 square feet. Cassidy Turley reported that the industrial building boom continues across the region, with 2.4 million square feet of space currently under construction.
Photo credit: W. P. Carey