Largo investors buy building, lease to HydroLogic Distribution

BUYER: 7902 Anderson Road Crossing LLC, Largo

SELLER: Monument Leasing Corp.

PROPERTY: 7902 Anderson Road, Tampa

PRICE: $1.07 million

PREVIOUS PRICE: $880,000, October 1988

LAW FIRM ON DEED: Conroy Conroy Durant & Rudnick PA, Naples

PLANS, DESCRIPTION: Two undisclosed Largo investors purchased the 25,800-square-foot former Wesco warehouse building for $1.07 million.

The price equated to $41 per square foot.

Originally constructed in 1981, the building has been vacant for roughly 18 months. It features 5,600 square feet of office space, two dock-high doors with a covered loading platform and outdoor storage.

Jan Boltres of Colliers International Tampa Bay represented the seller and John Anderson of European Equities represented the buyer.

Anderson has arranged for plumbing supply distributor HydroLogic Distribution Co. to lease the entire building for at least the next 10 years. The triple net lease obligates the tenant to handle all maintenance and repair of the building and pay for its insurance and taxes.

“This was purely an investment,” Anderson says. “[The building] needs some minor improvements to make it fit for them. Mainly things like paint. Minor work in the scope of the overall building. This is passive income for them.”

According to Boltres, activity in the industrial market remained strong from January to June, before a drop off in July. Since then, the industrial market has been strengthening, and he says this sale closed at a strong price compared with several recent sales for buildings of similar condition.

“Recently, pricing for this submarket has been a bit unpredictable,” Boltres says in a press release. “There is significant demand, but it's being held up due to uncertainty with the economy, resulting in hesitant buyers.”