Miami investors zero in on St. Pete industrial sites
A Miami investment group has purchased a 70,000-square-foot industrial property in St. Petersburg and plans to continue building its local portfolio throughout the Interstate I-4 corridor.
Basis Industrial, a privately held and vertically integrated real estate owner and operator, acquired two small-bay warehouse properties in Orlando and St. Petersburg as part of a two-property deal totaling 255,500 square feet.
The firm paid $7.5 million for the building at 2442 23rd St. N. and secured low financing for the deal.
“We were introduced to the property by a local broker we’ve met a couple of times. A lot of people come to us with deals, and we close nearly every deal we go under contract with,” Basis Industrial Chief Operating Officer Partner Anthony Scavo told the St. Pete Catalyst.
Basis Industrial Chief Operating Officer Partner Anthony Scavo.
He added how Basis Industrial was impressed by the concrete structure and how it wasn’t damaged when Hurricane Ian hit the Southwest Coast, and also the site’s proximity to big box stores and I-275.
Scavo said the deal was a sale-leaseback as they aim to retain the current tenants in the building.
The deal includes property across the street, which is where Basis Industrial plans to build a 9,500-square-foot, four-bay warehouse.
“This property is a small bay industrial flex retail building. There’s a big demand for hardworking people wanting to stay in that space, and we want to keep it affordable for those tenants,” Scavo said.
“We are looking to expand to other adjacent properties and grow our footprint in the area by trying to buy properties across I-4. The Sunbelt population is growing, and we like that Florida has a friendly business climate,” he said regarding the company’s drive.
The company is focused on acquiring existing industrial buildings, which are typically Class B and Class C buildings, as undeveloped industrial property is scarce.
To date, Basis Industrial owns more than 2 million square feet of self-storage and industrial real estate throughout the country.
In Orlando, Basis purchased the former Belle Avenue Commerce Center, a small-bay industrial park located at 1255 Belle Ave. Basis will be expanding the park with an additional 7,500 square feet of warehouse space, which will bring the total square footage to 193,000 square feet. The park currently has over 125 tenants, according to a news release.
The firm closed on the Orlando site in late September in a $22.5 million deal.
“We successfully navigated a complex year-long process to complete this acquisition,” Basis Industrial Partner Daniel Weinstein said in a statement about the two properties.
