40 Pepe’s Farm Road, Milford, CT

Investment Summary

Property:  Acquired at 50% leased, 40 Pepe’s Farm Road in Milford, CT is a single building, 200,000 SF distribution asset located in the densely populated I-95 market.
  • Acquisition Price – $6,600,000 ($33 PSF) – December 2014
  • Total Project Cost – $9,160,366 ($46 PSF)
Strategy:  Low basis acquisition of an institutional quality high bay distribution warehouse with significant upside value through lease up.

Opportunity / Highlights

  • 40 Pepe’s Farm Road is an institutional quality distribution asset within one mile of I-95 and two exits north of Bridgeport, CT.
  • The building is one of the only modern single story distribution buildings with 28’ clear ceilings in the I-95 corridor.
  • The low basis and attractive physical specifications allowed Calare to aggressively market the space to the best tenants in the market with very competitive economics.
  • Calare acquired the building at 50% leased in 2014 and sold it 100% leased in 2017.
  • The sale produced a 32% net IRR to investors over a 2.5 year hold.