A joint venture between Tramview Capital Management and East Capital Partners recently completed the off-market acquisition of an eight-building small bay industrial portfolio located in the thriving Port St. Lucie, FL market.
The 133,172-square-foot infill portfolio is strategically situated proximate to Interstate 95, an abundance of retail amenities, consumers, and the rapidly expanding residential base of Port St. Lucie with over 50,000 homes slated for development in the next five years.
Developed between 2019 and 2024, the portfolio offers state-of-the-art specifications for tenants, including hurricane resistant glass, 18+-foot clear heights, abundant parking, desirable layouts, convenient access, and attractive facades. The most recent delivery, 500 NW Stadium Drive, was completed in November 2024 and is quickly leasing at compelling rental rates. The balance of the portfolio is approximately 95% leased to a diverse roster of tenants that cater to the expanding population base of St. Lucie County.
Over the past two years, small bay warehouses across many markets in Florida and nationally have exhibited strong leasing performance in terms of stable occupancy and strong rent growth, having outperformed other industrial property types. This performance is in part driven by the limited stock of small bay warehouses, the fact that they rarely trade, and that they are expensive to build, providing additional supply constraints to the asset class.
“We are excited to partner on this off-market deal with Tramview as we continue to expand our partnership across the East Coast,” said Drew DeWitt, Co-Founder of East Capital Partners. “This portfolio was developed with the trade area’s tenants in mind, offering a variety of suite sizes, attractive clear heights, ample car and box truck parking, and an ability to easily divide or combine units, leading to ideal optionality in leasing the space. This flexibility in turn leads to greater tenant demand, tenant diversification, and more stable cash flow for our investors.”
“We are excited to partner with East Capital Partners to acquire this well-located, functional portfolio in a growing market at attractive pricing,” said Rob Davies, Managing Partner of Tramview. “The investment provides a healthy cash flow profile, along with value-add potential to enhance income and generate strong returns for our investors.”
