Despite the challenging capital markets, Ashley Capital financing transactions continued ahead of pace in 2023.
In February, Ashley closed on a $58 million financing for Covington Logistics Park 1 & 2 in Covington, GA. Fifth Third provided bridge financing for the 323,000 square foot Covington 1 and construction financing for the 702,000 square foot Covington 2 industrial facilities. Covington 1 is 50% leased to a company that stores and distributes polyester films and photovoltaic materials. Covington 2 is 70% leased to a market-leading consumer products distributor.
In June, Ashley secured a $25 million construction loan from Old National Bank for Building 1 at Flint Commerce Center (“FCC”), a 330,000 SF facility at the historic former Buick City site in Flint, Michigan. Building 1 represents the start of what is planned to be almost 4 million square feet of development by Ashley Capital to serve the region. This modern industrial park is strategically located in the Metropolitan Flint Market just 5 miles north of the Flint GM Assembly Plant and Bishop International Airport. FCC’s excellent access to I-475, I-69, and I-75 provides tenants with reduced transportation costs, excellent visibility, and enhanced marketability.
To close out the second quarter, Ashley secured a $32 million loan with Northwestern Mutual Life Insurance for Crossroads Distribution Center Building 6. The 660,000 SF facility in Van Buren Township, Michigan was completed in early 2023 and is fully leased to Our Next Energy (“ONE”). ONE, an energy storage company, will build its first battery manufacturing campus at Crossroads Distribution Center and the $1.6 billion project is expected to create 2,000+ jobs.
In September, Ashley closed on a $30 million loan for Livonia West Commerce Center 2 with Securian Asset Management. Livonia West Commerce Center 2 is an industrial facility at the intersection of Amrhein and Eckles Roads on the former GM Delco Chassis Plant land in Livonia, Michigan. The 365,000 square foot building is a cross-dock warehouse with an oversized, remote trailer lot, ample car parking, and 32-foot clear height. The property is ideally situated near the intersection of I-96 and I-275, adjacent to Amazon’s Livonia facility. A range of tenants including DHL, FedEx, and Penske, use the space for distribution of after-market parts to automotive dealerships, warehouse & logistics for retail corporations and general trailer staging.