Lakeside Commerce Center

Jones Lang LaSalle (“JLL”), as exclusive advisor to Industrial Commercial Properties (“ICP”), is pleased to offer for sale the fee-simple interest in Lakeside Commerce Center (the “Offering” or the “Property”), a 295,109 SF manufacturing and logistics center equipped with 4,000 amps of power and crane bays, positioned in an infill location three miles east of Downtown Cleveland. 100% leased to three tenants with 6.2 years of weighted average lease term, the Property’s rent roll features an investment-grade guaranty from its largest tenant, Sandvik, Inc. (S&P: A-; 119,672 SF), and a staggered rollover schedule providing a stable in-place cash flow without concentrated lease-up risk. Additionally, given significant increases in land and construction costs, the Lakeside Commerce Center offers investors an opportunity to acquire stabilized, infill industrial product at a significant discount to today’s replacement cost, while benefiting from its above-average clear height and outside storage yard.

The recent leasing success at the Property, namely Sandvik’s 10-year lease in 2022 and AllFreight Delivery’s recently executed 5-year lease, is attributable to user demand for accessible space in the Cleveland industrial market and the MSA’s strong real estate fundamentals. Lakeside Commerce Center is a 2-minute drive from I-90, connecting users to the deep labor pools of the Cleveland MSA and the city’s major transportation infrastructure including I-77, I-71, and the Cleveland Hopkins International Airport. In addition to sustained user demand, Cleveland’s industrial market fundamentals position the region for significant rent growth. In the first half of 2024, the market has only seen 208,000 SF of new product delivered. Coupling a lack of new supply with a 3.5% vacancy rate, users will have increasingly limited options when seeking space with features like high power capacity and crane bays in the centrally located Cleveland industrial market.