Portage – Industrial

The Portage industrial property was acquired in August 2025 for $16.5 million through a 1031 exchange following the sale of East Gate, an inline retail property in St. Charles, Illinois. East Gate was originally acquired through an auction and repositioned through leasing execution, ultimately generating an 18% annual return over a six-year hold. Following that successful repositioning, the team exchanged the proceeds into Portage, transitioning capital from a higher-risk retail repositioning into a more stable industrial asset.

The property consists primarily of multi-tenant industrial suites ranging from 4,000 to 24,000 square feet, along with a large 81,000 SF anchor tenant, Vision Wheel.

At acquisition, the smaller tenant suites were paying an average of approximately $8/SF, while Vision Wheel was paying $5.63/SF. The underwriting projected achievable rents of $9/SF for the smaller suites and $7.50/SF for the anchor tenant space.

Early leasing execution has already exceeded underwriting expectations. The team successfully renewed a 24,000 SF tenant at $9.50/SF, above the pro-forma assumption, and completed the renewal with zero tenant improvement costs, demonstrating strong tenant demand and disciplined capital deployment.

The property is currently valued at approximately $17.75 million.