As reported in the Milwaukee Business Journal
A Sears subsidiary just sold a vacant, 1.4 million-square-foot facility on North Highland Street to Milwaukee-based Phoenix Investors.
Sears built most of the facility — massive, for its day — in 1973, at 3456 Meyers Road, at the corner of Highland in Memphis’ Douglass neighborhood. It sold the building and 39 acres of nearby land to Phoenix Investors for $8.2 million. The nearby land — home to a parking lot and a detention pond — was part of a separate transaction from the main sale.
Phoenix SVP of acquisitions and leasing, Kurt Jensen, said in a news release his company is moving into the market because it has received “more national search inquiries for the Memphis market than any other MSA.”
“The combination of geographic location, transportation infrastructure, and affordable market rents make it the ideal marketplace to serve tenants searching for distribution east of the Rockies,” Jensen said.
The warehouse is Phoenix’s second Memphis-area asset, as it owns a 320,000-square-foot building in Covington. According to its website, Phoenix owns about 29 million square feet of product, most of which is in Wisconsin or Illinois.
According to the release, Phoenix expects to continue to expand its Tennessee presence. It specializes in buying empty industrial facilities that have been left behind by corporate users and rehabbing them for new occupants.
Phoenix financed the Meyers Road deal with a $10.1 million loan from Atlanta-based Atlantic Capital Bank.
JLL’s Jack Wohrman, Matt Denny, and Russ Westlake represented Sears in the sale.