Stan Johnson Company, one of commercial real estate’s leading investment sales brokerage firms, has completed the sale of 812 and 814 South Eastman Road in Longview, Texas. The two-building industrial facility totals 28,907 square feet and is leased to ADB Companies and S&B Engineers. Evan Altemus of Stan Johnson Company represented the seller, an individual investor from Tyler, Texas. The property was acquired by a private 1031 exchange buyer based in California at a 9.30 percent cap rate. The sale price was not disclosed.
“It’s becoming increasingly more difficult to find industrial properties with yield in today’s market, so this investment property received significant interest,” said Altemus, Associate Director in Stan Johnson Company’s Dallas, Texas office. “It was a unique situation where the seller wanted to shift more toward single-tenant investments, while the buyer was targeting higher cap rate, value-add industrial assets. The property has two strong credit tenants in place and the ability to generate additional income through value-add possibilities.”
The properties were originally built in 1972 and 1978 and have seen numerous improvements in recent years. They are situated on 2.82 acres near U.S. Highway 259 in an industrial and supply area with numerous other tenants including Howard Supply, Daily Electric Motor, Baxter Packaging and Tracker Boats, among others. The site is approximately two hours east of Dallas, Texas and one hour west of Shreveport, Louisiana, and it offers quick access to Interstate 20.