Taurus Buys Thirteen Buildings

HOUSTON – (Realty News Report) – Taurus Investment Holdings LLC of Boston has acquired a portfolio of 13 industrial buildings, including one south of the Astrodome in Houston, where Taurus plans to construct a new project.

Taurus, a global private equity real estate firm bought the Fannin 1 industrial building, a 218,966 SF property at 10001 Fannin in Houston, as part of its acquisition of the Sunbelt Infill Portfolio, which consists of 13 well-located Class A and Class B industrial assets totaling 1.4 million SF across Atlanta, Houston, Tampa and Orlando.

A New Project Planned For Houston

The company also disclosed that it is under development with another building at the Fannin location, a 151,000 SF project. The site is south of Loop 610, west of Highway 288 and north of Reed Road, not far from the terminus of the METRO light rail. The project is also located not far from Highway 90, which has been gaining momentum and attracting new development, including a large industrial project by Jackson Shaw, which is building on the site of the former Houston Sportsplex softball facility.

The Hot Industrial Sector

The industrial sector has been attracting significant investment dollars. The Urban Land Institute gives the national warehouse sector the highest marks and a favorable outlook. And CBRE, one of the biggest commercial real estate companies in the world, is expanding its Industrial & Logistics Capital Markets team in Houston to meet the demand. CBRE has appointed Nathan Wynne to lead the expansion of its Industrial & Logistics Capital Markets team in Houston.

With industrial as one of its core asset classes, Taurus has acquired over 27 million square feet of logistics/distribution space in the US market over the past five years. This latest acquisition comes on the heels of Taurus’ recent entry into the Cincinnati and Indianapolis markets.

“Investor demand continues to be tremendous for the industrial sector. This portfolio provided Taurus with a unique opportunity to acquire both Class A and Class B properties, all of which are located within core markets where Taurus has been active for many years.” said Peter A. Merrigan, CEO of Taurus Investment Holdings. “One of the things we really like is the industrial sector’s ability to be a hedge against inflation and this latest acquisition highlights our continued commitment to adding strategically located industrial assets to our substantial portfolio.”

With 51 tenants spread across 12 buildings, the portfolio is situated across four of the highest growth industrial markets in the United States, with a weighted average vacancy rate of just 3.85 percent, creating a favorable supply-demand dynamic for continued rent growth. The industrial market is continuing to perform at high levels, fueled in part by continued ecommerce demand and an evolving supply chain, putting the industrial market into overdrive from a demand perspective, Taurus said. The combination of recent upgrades and state-of-the-art new construction aided in the portfolio securing leases with quality tenants such as Walmart, Raytheon, Iron Mountain, DAP America, and SC Johnson.

“The industrial market is a booming sector in which Taurus continues to have immense success,” said Lathan Allen, Managing Director at Taurus. “This acquisition underscores our commitment to the industrial sector and reflects our team’s ability to transact in a competitive environment while continuing to generate above-market returns. As a leading operator of industrial properties, we are excited to re-enter the Florida market and to expand our presence in Atlanta and Houston.”

The acquisition of the Sunbelt Infill Portfolio boosts Taurus’ active industrial portfolio to over 16 million SF that is 96 percent leased to more than 700 tenants.

File: Taurus Buys Thirteen Buildings

Photo Courtesy Taurus