Brennan Investment Group announced the acquisition of a 202,000-square-foot industrial manufacturing facility in Vonore, Tennessee, within the Knoxville metropolitan statistical area, through a long-term sale-leaseback transaction with Commercial Vehicle Group (CVG).
The property encompasses 42 acres and is strategically located within the Greater Knoxville industrial market, a region that has experienced growth in automotive, marine, and advanced manufacturing activity. The facility benefits from access to Interstate 75, Interstate 40, McGhee Tyson Airport, and the Port of Tellico, providing strong transportation and logistics connectivity.
As part of the transaction, the property was fully leased back to CVG under a newly executed 20-year absolute net lease. The facility is considered mission-critical to the tenant’s operations, serving as one of only two seating manufacturing plants operated by CVG in the United States.
The acquisition aligns with Brennan Investment Group’s strategy of investing in industrial assets supported by long-term tenancy and essential manufacturing operations. The firm noted that demand for industrial manufacturing space continues to benefit from trends including onshoring, robotics, and automation.
Brennan Investment Group is a Chicago-based private real estate investment firm focused on acquiring, developing, and operating industrial properties across the United States. Since 2010, the company has acquired or developed $6.5 billion in industrial real estate and currently manages a portfolio spanning approximately 58 million square feet across 30 states.
KEY QUOTES:
“We were able to structure a compelling sale-leaseback with a long-term commitment from the tenant, while acquiring the asset at an attractive basis relative to replacement cost. Given the building’s functionality, excess land, and strong market fundamentals in Knoxville, we see this as a highly durable investment with long-term upside.”
Scott Gibler, Executive Director Corporate Real Estate Solutions, Managing Principal, Brennan Investment Group
“This sale-leaseback reflects our net lease business’s continued focus on acquiring mission critical industrial assets with long-term tenancy. Further, industrial markets nationwide have seen a significant increase in manufacturing space demand because of onshoring, robotics and automation. This is a trend that will continue to accelerate over the decade.”
Robert Vanecko, Managing Principal Net Lease, Brennan Investment Group
