5925 W Van Buren St, Phoenix, AZ 85043

Investment opportunity to acquire the Reddy Ice Corporation manufacturing and distribution facility at 5925 W. Van Buren Street in Phoenix. This single-tenant NN leased industrial building consists of ±17,238 square feet on ±1.47 acres.

Sale price is $2.2 million ($127.63). Cap rate is 8.0 percent.

Reddy Ice purchased the former tenant and executed a new five-year corporate-guaranteed lease, which started June 18, 2019. Four of the five years are firm term and there are two option periods. Each option period is for four years and has annual escalations of 2 percent.

The property is conveniently located within 10 miles of downtown Phoenix, one of the hottest industrial markets in the country.

Reddy Ice Holdings Inc., is the largest manufacturer and distributor of packaged ice in the United States. The company sells its products in 37 states and the District of Columbia and serves approximately 82,000 customer locations under the Reddy Ice brand name.

Reddy Ice Holdings Inc. was acquired by Stone Canyon Industries Holdings LLC in July. Stone Canyon is a global industrial holding company designed to “buy, build and hold” for the long term, with a strategy focused on acquiring and operating market leading companies in essential industries.

Phoenix is the 11th largest metro and the second fastest growing MSA in the nation, adding more than 96,000 residents in 2018.

NN lease, 100-percent leased
Located in an opportunity zone, creating tax incentives
Excellent location with immediate access to Interstate 10
High-volume development area
Prologis developed ±300,000 SF facility on 16 acres nearby
New York Life developed ±500,000 SF & ±600,000 SF facilities across the street, leased out to Amazon Distribution and Geodis Logistics.
Reddy Ice is the largest manufacturer and distributor of packaged ice in the U.S.