- What Automotive Properties REIT added another asset to its investment portfolio
- Why The REIT will pay US$191/sq ft for an auto collision centre in Dublin, Ohio
- What next The facility is leased by electric-car giant Tesla
Automotive Properties REIT is purchasing a U.S. collision centre leased by electric-car manufacturer Tesla for US$18m.
The Toronto-based firm agreed to pay an unidentified third-party seller US$191/sq ft for the 94,000 sq ft facility at 5600 Britton Parkway in Dublin, Ohio. The deal is slated to close early this year.
The deal marks Automotive Properties’ seventh North American site with Tesla as a tenant. It’s also the second U.S. property acquisition for the REIT in the last six months. In October, the firm announced the US$13.5m ($540/sq ft) purchase of a 25,000 sq ft car dealership in Tampa, Florida. That deal also is expected to close early this year.
Automotive Properties controls close to 3m sq ft of leasable space and is focused on the acquisition of fully leased auto dealerships and vehicle service properties, largely in Canada. Its Canadian portfolio comprises 78 buildings across five provinces — Alberta, British Columbia, Manitoba, Québec and Saskatchewan — with a net asset value of nearly $700m, according to its most recent earnings report.
The REIT is expected to announce its 2024 year-end results in early March. The firm’s biggest tenant, Toronto-based Dilawri Group of Cos., controls 83 Canadian dealerships across 38 major automotive brands, including BMW, Ford and Honda.
