Plymouth Industrial REIT Sells Memphis Flex Building to End User for $2.4 Million
Boston, MA – In a recent business move, Plymouth Industrial REIT, Inc. (PLYM) announced the sale of a 33,688-square-foot flex building located in Memphis, Tennessee. The building, which was acquired by Plymouth in July 2024 as part of a larger portfolio deal worth $100.5 million, has now been sold to an end user for a total purchase price of $2.4 million.
Background on the Sale
The Memphis property, which is strategically situated in the Airport South submarket, has undergone significant renovations since being acquired by Plymouth. These improvements included upgrading the building’s HVAC systems, enhancing the exterior, and modernizing the common areas. These enhancements were aimed at attracting and retaining tenants, which proved successful as the property’s occupancy rate increased to over 90%.
Impact on Plymouth Industrial REIT
The sale of the Memphis flex building represents a significant gain for Plymouth Industrial REIT. The company initially invested $32.6 million in the property, meaning the sale price of $2.4 million results in a profit of approximately $800,000. This profit, while not insignificant, may not have a substantial impact on Plymouth’s overall financial performance. However, it does demonstrate the company’s ability to identify valuable assets, make strategic improvements, and successfully sell them at a profit.
Impact on the End User
For the end user, the acquisition of the Memphis flex building provides them with a well-located and recently renovated property that can accommodate their business needs. The building’s strategic location in the Airport South submarket offers excellent access to major transportation networks, making it an ideal choice for companies that rely on efficient logistics and supply chain operations.
Broader Implications
The sale of the Memphis flex building to an end user is a reflection of the ongoing demand for industrial real estate, particularly in strategic locations. This trend is expected to continue as e-commerce and logistics continue to grow, driving the need for modern, well-located industrial spaces. Additionally, this sale underscores the importance of strategic investments and improvements in real estate assets to maximize their value and appeal to potential buyers.
Conclusion
In conclusion, the sale of a 33,688-square-foot flex building in Memphis, Tennessee, by Plymouth Industrial REIT to an end user for $2.4 million represents a successful investment for both parties. For Plymouth, the sale demonstrates the company’s ability to identify valuable assets, make strategic improvements, and sell them at a profit. For the end user, the acquisition provides them with a well-located and recently renovated property that can accommodate their business needs. The broader implications of this sale include the ongoing demand for industrial real estate and the importance of strategic investments and improvements in real estate assets.
Additional Sources
- “Plymouth Industrial REIT Announces Sale of Memphis Flex Building”
- “Industrial Real Estate Market Trends and Outlook”
Sources:
“Plymouth Industrial REIT Announces Sale of Memphis Flex Building.” GlobeNewswire, 5 Feb. 2025,
