In June 2025, W. P. Carey completed the sale-leaseback of a manufacturing facility in Chattanooga. Totaling 211,000 square feet, the facility is triple-net leased to a rapidly growing producer of custom flexible packaging.
The facility is essential to the tenant, producing products that generate a significant portion of the company’s revenue. The tenant has also made significant investments into the build-out and equipment at the facility, making it highly functional and difficult to economically replicate.
The facility is located in the Chattanooga industrial market, where limited developable land for industrial use supports low vacancy and long-term rent growth. The asset is also well located for local and regional distribution with immediate access to key highways and transportation routes.
The facility is triple-net leased for a term of 15 years with fixed annual rent increases.
Tyler Swann, managing director, Investments, W. P. Carey, said, “This transaction exemplifies our continued focus on acquiring mission-critical assets in strong industrial markets. With a high-growth tenant and a long-term lease in place, this facility aligns well with our investment criteria and is a great addition to our growing portfolio.”