Stan Johnson Company, one of commercial real estate’s leading investment sales brokerage firms, has completed the sale of a single-tenant industrial property triple net leased to Lucid Motors on a long-term basis in Palm Beach County, Florida. Brandon Duff and Mack Wolfgram of Stan Johnson Company exclusively marketed the property on behalf of the seller and procured the Chicago, Illinois-based buyer, who paid an undisclosed price. Situated on 3.0 acres at 4651 Dyer Boulevard in Riviera Beach, Florida, the property is located within the I-95 corridor between West Palm Beach, Boca Raton, Delray Beach, Miami and Jupiter, Florida. The property was first built for Tesla in 2009 and was recently remodeled for Lucid Motors’ occupancy starting in 2021 as the company prepares to begin mass production of their flagship electric vehicle, the Lucid Air. The property will serve as Lucid’s vehicle storage and service center, supporting retail locations throughout southern Florida. Preorders for the Lucid Air have already sold out, with deliveries expected to begin in late 2021.
“This transaction is part of our team’s industrial service facility (ISF) and industrial outdoor storage (IOS) product specialty focus that we have been executing now for several years. As investor demand for this niche industrial property segment continues to grow immensely, we have seen increasing interest and historically low cap rates from all buyer segments including institutional, REITs, private equity sponsors, individual private investors and 1031 exchange buyers, allowing us to drive a highly competitive sale process with a multitude of offers,” said Duff, Managing Director and Partner in Stan Johnson Company’s Chicago, Illinois office.
“Our depth of knowledge with this unique asset class, especially as it pertains to the relationship between the property’s residual value, unit-level performance, and tenant credit underwriting, allowed us to drive value and secure the best price for our client,” added Wolfgram, Associate.