EastGroup Properties has acquired Ridge Creek Distribution Center III located in Charlotte, North Carolina.
Constructed in 2013, the bulk distribution building contains 270,000 square feet and is situated between EastGroup's Ridge Creek Distribution Centers I and II in Charlotte's southwest industrial submarket.
The company anticipates a total first year investment of approximately USD15.2 million including capital improvements, leasing commissions and closing costs and projects a seven per cent annualised cash yield at a stabilised occupancy of 95 per cent. The property is currently 55 per cent leased to two customers.
David H Hoster II, president and CEO, says: "The acquisition of Ridge Creek III gives us a recently constructed asset with all the specifications users demand in a proven location for EastGroup. It increases our ownership in Charlotte to 2.6 million square feet with an additional 233,000 square feet under development in three buildings."