Case Study – Warehousing and Distribution Facility, Mississauga, Ontario 

How can you ensure that you maximize the sale value of your property? Selling commercial real estate can be a long and complex process, and the end price can vary considerably; depending largely on the economy, the asset itself, and the brokers bringing it to market.

A building is only worth what a buyer is willing to pay for it. And so, when trying to sell, positioning a building to its highest and best use is a crucial first step. This helps find the highest-value Buyers that see the value or are looking to add it over the medium- to long-term. This process not only stretches prices but creates a healthy and competitive buying environment.

How you can:

  • Find the right angle,
  • Craft the overall strategy,
  • Tap into a deep network,
  • Maximize your reach to prospects, and
  • Execute the final sale…

…Is what an experienced team of brokers can do for you.

It would be nice if you could simply put up signage and list your property online. For a sought-after property in a hot market, this may work, however, in either case, you may be leaving money on the table. Therefore, it is better to follow a repeatable process and leverage a deep network of relationships to get the right market feedback, reach the right people, and do everything possible.

The Challenge

Team Toronto Industrial was tasked with the sale of a warehouse and distribution facility; a corner property of approximately 120,000 SF with outside storage zoned land for truck and trailer parking. The property is located with quick access to Highways 401, 407, and 410, with heavy power and shipping capabilities. The main objective was to position the property to its highest and best use while marketing it to a pre-defined group of ideal users to maximize the sale value. 

Features: 

  • Approximately 120,000 SF
  • E3 Industrial Zoning
  • 18’ Clear Height
  • Truck Level and Drive-In Doors
  • Heavy Power
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Transaction

We conducted an analysis of the asset, the market, and comparable properties to come up with a positioning, pricing, outreach, and marketing strategy.

We determined the property would be desirable to many potential Buyers due to its location, size, features, and lack of comparable product on the market… Because of this, we decided to execute an open-market priced listing while marketing to our network and lists of prospects. An important point here is ensuring all relevant Parties knew of the opportunity through as many channels as possible; including both online and offline.

We generated a competitive scenario with multiple bids, one of which was a firm offer that was ultimately accepted by the Seller.

Results

We successfully sold the property to an Investor with plans to improve and hold the facility. Our marketing and listing process created a multiple competitive bid scenario that ultimately generated a firm offer above the Seller’s pricing expectations. 

Bottom Line: We were able to execute an open-market process, as well as tap into our extensive network of relationships to match the Seller with a qualified Buyer, and get the deal done to their satisfaction.

If you are thinking of selling your industrial property, please give us a call and we would be happy to discuss your unique situation.

Luis Almeida is the Senior Vice President and Partner of Lee & Associates Toronto, specializing in the acquisition, disposition, and leasing of industrial properties, as well as providing clients such as local and national corporations, landlords, and developers with a full range of real estate services across verticals and industries.

ABOUT LEE & ASSOCIATES

Lee & Associates is a commercial real estate brokerage, management and appraisal services firm. Established in 1979, Lee & Associates has grown its service platform to include offices in the United States and Canada. Lee & Associates provides superior market intelligence in office, industrial, retail, investment, and appraisal to meet the specialized needs of our clients. For the latest news from Lee & Associates, visit leetoronto.com.

To get clarity and direction when looking to sell your building, or to discuss any other real estate needs, please contact Luis at 416.628.8151, email at lalmeida@lee-associates.com, or visit www.leetoronto.com.