Detroit’s Crestlight Capital Acquires 4 Class A Buildings in Metro Detroit
Posted By: DBUSINESS on March 14, 2023. For more information, please click here to read the source article.
Crestlight Capital, a Detroit-headquartered real estate investment firm, in partnership with Sabal Investment Holdings, an investment management firm based in Irvine, California, serving institutional investors across the U.S., has announced its acquisition of four Class A warehouse industrial buildings totaling 1.1 million square feet near the Detroit Metro Airport.
The transaction represents Crestlight’s first industrial investment in metro Detroit. Terms of the deal were not disclosed.
“Long term, we see strong tailwinds in the industrial sector and are excited to partner with Sabal Investment Holdings to acquire high-quality warehouses only 30 minutes from our headquarters,” says John Coury, CEO of Crestlight. “We currently target the purchase of well-located, high-performing industrial and office assets in the Midwest and Sunbelt regions of the United States.”
Brad Finkel, senior vice president at Crestlight, added: “Detroit’s industrial market has a balanced supply-versus-demand outlook and a skilled labor force with 4.4 million people residing in the metropolitan area.
“Detroit can be overlooked by some investors, particularly with uncertain economic conditions like we have today, but the portfolio has averaged 98 percent occupancy over the past decade and represented significant value.”
The four buildings, located at 7525 and 6505 Cogswell St. in Romulus and 41133 and 41199 Van Born Road in Belleville, are currently 100 percent occupied by a diverse roster of tenants. Crestlight has retained the local Newmark office to manage and lease the buildings.
“With promising supply, demand, and labor dynamics in the Detroit market, as well as exceptional historic occupancy at these properties, this Class A industrial real estate portfolio is an attractive acquisition for us,” says Tal Seder, managing director of Sabal Investment Holdings.
Formed in 2017, Crestlight aims to have a positive impact on communities through strategic investment and renovation of physical spaces. The firm has approximately $700 million in assets under management.
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