Case Study Hanesbrands Warehouse/Distribution

Location

Winston-Salem (Rural Hall), NC

Sector

Capital Stacking
Capital Transactions

The Property

930,000 square foot Warehouse/Distribution Center located in the Northridge Business Park, located off RT 52 in Rural Hall (Winston-Salem) NC. Located on approximately 50 acres, the facility employed about 100 people and distributed T-shirts across the US. 

Project Brief

The property was being marketed by a regional Brokerage Firm who we had a relationship with. Hanesbrands wanted to facilitate a quick close with a dependable buyer in order to free up cash to pay down debt, improve their balance sheet, and have funds for future acquisitions. Their goal was to sell the property and lease it back while continuing to operate it as one of their primary national distribution centers.

Challenge

  • Time constraints and Surety of Close

  • Tertiary Market 

  • The credit of Tenant (Reason for sale - pay down debt and improve Balance Sheet and credit)

  • Large Building size. Retenanting if it went dark

  • Negotiating a long-term Net Lease for Sale-Leaseback within time constraints

Approach

Using our experience with Net Lease Transactions on a national basis we were able to quickly identify a purchaser who could act quickly to meet the timing goals of Hanesbrands and with surety of closure.

Outcome

Closed within time frame parameters. We assisted in the negotiation of a 12-year NNN lease with the Buyer/Landlord to allow Hanesbrands flexibility going forward to accomplish their operational goals and strategy.

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Flemington Marketplace