The growth of the Texas Hill Country has brought about a booming business economy. The latest move made by commercial property owners brought the sale of a 1.4 million-square-foot logistics park that's been entirely leased by Tesla Inc.
Houston-based Alliance Industrial Co. sold the Kyle 35 Logistics Park to Atlanta-based MDH Partners LLC in mid-October, according to the news release. It is unknown how much the property was sold for, but the park was reportedly appraised at $76.2 million for tax purposes by the Hays Central Appraisal District.
Just about 20 miles away from Southwest Austin, the industrial development consists of five state-of-the-art industrial Class A buildings ranging from 140,300 to 474,397 square feet. It features 36- to 40-foot clear heights, ESFR sprinkler systems, ample parking, and other modern amenities sought after by industrial tenants, according to the release.
Representatives for the seller emphasized the park's strongest appeal features, including Kyle's "tremendous growth, nearly doubling in size over the past decade."
"Kyle 35 Logistics Park represented an exceptional opportunity to acquire a newly built, fully leased industrial asset in one of the fastest growing corridors in Central Texas," JLL Capital Market's Trent Agnew said in the release. "The property's high-quality construction, investment grade tenancy and strategic location generated strong investor interest."
The sale comes nearly nine months after the Austin Business Journal confirmed that Tesla is leasing nearly 1 million square feet of space at the park. The sales announcement says Tesla now leases 1.4 million square feet of land.