2181 Ellis Drive
- 2181 Ellis Drive, Auburn, NY 13021
- Property Type:
- Multi Tenant
- Cap Rate:
- 8.70% cap
- Square Feet:
- 32,000 sqft
- Lot Size:
- 5.10 acres
- Price Per Square Foot:
- Year Built:
• Fully Occupied Industrial Investment Facility
• Value-Add Opportunity in Increasing Rents or Converting Leases
• Located Directly Off U.S. Highway 20 for Ease of Access
• 2.14 Acres of Undeveloped Land for Expansion of Facility or Lot
• Located in the Auburn Market with a 1.6 Percent Market Vacancy
• Market Rents Have Been Increasing an Average of 7.6 Percent Annually
Marcus & Millichap is pleased to present the opportunity to acquire the property located at 2181 Ellis Drive in Auburn, New York. The subject property consists of approximately 31,500 square feet of space and is situated on 5.1 acres of land. The asset features a clear height of 18’ and 24,500 square feet of cold storage space. With 2.14 acres of undeveloped land available, the property can support expansion to the facility or lot. Given that all of the leases are set to expire in 2022, the fully occupied property provides a value-add opportunity in increasing rents or converting leases. Located directly off U.S. Highway 20, the property has easy access to major thoroughfares.
Auburn is a fundamentally strong tertiary market with 5.1 million square feet of industrial space. Industrial rent growth posted a record high of 9.0 percent for all of 2021. The rapid ascent has continued during the first quarter of 2022, with industrial rents up 7.6 percent year-over-year. The average market rent now stands at $9.24-per-square-foot, offering investors nearly a 45 percent premium compared to the nearby Syracuse market. In 2021, the vacancy rate fell to a record low of just 0.4 percent. Despite net absorption turning negative early in 2022, the vacancy remains 1.6 percent. With no industrial properties under construction, rent growth and vacancies will be unimpeded by new supply for the foreseeable future.
Metro Syracuse is the economic and educational hub of Central New York. The city of Syracuse maintains a population of over 146,000 residents, while the metro area encompasses about 662,000 people. The renowned Syracuse University is a key contributor to the local economy with an annual economic impact of about $2.1 billion. Top defense contractor and manufacturer, Lockheed Martin, serves as a major employer with 2,250 workers. While the median household income of $58,500 sits below the nationwide median, residents of Syracuse enjoy a 21 percent lower cost of living compared to the national average.