Fortress pays $66M for SuperValu distribution center in Pompano Beach
Trade is part of a $483M national portfolio deal
Fortress Investment Group just bought a SuperValu distribution center in Pompano Beach, as part of a $483 million national portfolio deal.
CF Grocery Distribution PropCo., an affiliate of Fortress, paid $66.4 million for a 769,000-square-foot SuperValu facility at 1141 Southwest 12th Avenue. Records show the deal was financed with a $68.41 million mortgage from Royal Bank of Canada.
The seller, Associated Grocers of Florida, was acquired by Supervalu for $180 million in October. Records show the facility last traded for $51 million in 2006. It sits on the 51.5-acre site just west of North Andrews Avenue and north West Mcnab Road. It was built in 1973.
In April, the grocery distribution company announced it would be selling eight of its facilities, including the one in Pompano Beach. Other locations include Green Bay, Wisconsin; Harrisburg, Pennsylvania; Commerce and Stockton, California; and Champaign, Oglesby and Joliet, Illinois. The Commerce, California facility traded for $121 million.
In total, the portfolio spans about 5.8 million square feet. The trade is part of a 20-year sale leaseback agreement with SuperValu, with a five-year renewal option. Rent is expected to total about $31 million in the first year of the leases, according to SuperValu’s website.
Also in Pompano, Bridge Development Partners is building Bridge Point Powerline Road, a 468,000-square-foot speculative industrial park at 1951 North Powerline Road. Earlier this month, the 37-acre Festival Flea Market at 2900 West Sample Road traded hands for $25 million.