Stag Industrial Buys Bedford Heights Warehouse
March 10th, 2017
In the first quarter of 2017, 26801 Fargo Road in Bedford Heights sold for $7,636,651, or $44.13/SF, to STAG Industrial Holdings, LLC. Our team represented the sellers, a group of local Cleveland investors.
Fully-leased to two tenants, this 173,052-square-foot building originally functioned as a Sears distribution center.
This space is evidence of a robust industrial investment climate, even in secondary markets such as Northeast Ohio. Recently, NKF Cleveland's 4Q16 Industrial Market Report indicated an industrial market vacancy of 6.8%, having dipped below 7% for the first time. So with vacancy now hovering around a generation low, this price is still far below the building's replacement value. In a rising market, this price may seem high today, but could prove to be a wise investment in the not-too-distant future.
About The Property
The single story, 173,052-square-foot masonry warehouse and office building at 26801 Fargo Road was originally built in the 1960s. It was renovated in 2004 and underwent a major office build-out in 2016. The property features approximately 160,000 SF of warehouse, 15,600 SF of office, a building technician office and two loading dock areas that consist of 30 canopy-covered bays. Located in the heart of Bedford Heights, the property is near restaurants, leading medical facilities and offers easy access to I-271.