CAI Investments, LLC, a property manager\/developer and private placement sponsor, has purchased a 462,300-square-foot manufacturing facility in Montgomery, Illinois, approximately 45 miles west of Chicago for a Delaware statutory trust offering. The purchase price was not disclosed.<\/p>\n\n\n\n
The industrial property, located next to a major freeway and with access to rail transportation, is fully occupied by VVF Illinois LLC, a subsidiary of VVF Intervest U.S., a manufacturer and distributor of personal care products and one of the largest contract manufacturers of soaps and deodorants in the United States. Its customers include Dial, Johnson & Johnson, Pfizer, Wal-Mart, CVS Pharmacy, among others.<\/p>\n\n\n\n
VVF has occupied the building since 2009, which it uses to manufactures bar soaps, antiperspirants, and deodorants. As part of the acquisition, VVF signed a new 20-year lease, with contractually obligated annual 1.5 percent rent increases.<\/p>\n\n\n\n
In late June, CAI subscribed a DST offering of another VVF-occupied<\/a> manufacturing facility near Cincinnati, which it purchased for $46.6 million.<\/p>\n\n\n\n \u201cWe believed it was prudent, given the current market dynamics, to launch an all-cash mission critical healthcare manufacturing offering. In addition, we are excited to be working with VVF again after successfully securitizing their Cincinnati asset,\u201d said James Hickey, senior vice president of capital markets. \u201cSimply stated, people just like to be clean and smell nice.\u201d<\/p>\n\n\n\n Headquartered in Las Vegas, CAI Investments is a real estate development company that finances, develops, and manages commercial properties in key markets across the United States.<\/p>\n\n\n\n