Alexander & Baldwin, Inc. (A&B), a leading Hawai’i-based owner, operator, and developer of high-quality commercial real estate, has made a strategic move to bolster its presence in the state’s vibrant industrial market. The company recently announced the completion of an off-market acquisition of an industrial property in Pearl City, O’ahu for $29.7 million. This acquisition marks a significant step forward in A&B’s ongoing efforts to expand its commercial real estate portfolio in Hawai’i, with a particular focus on retail, industrial, and ground lease assets.
The newly acquired property is a substantial 81,500-square-foot food distribution facility located in a prime location on O’ahu, providing easy access to the Daniel K. Inouye International Airport, Honolulu Harbor, and Honolulu’s urban core. This strategically located asset is fully leased to Hansen Distribution Group, a respected broadline food service subsidiary of C&S Wholesale Grocers. C&S Wholesale Grocers is a recognized industry leader in supply chain solutions and wholesale grocery supply within the United States.
Lance Parker, A&B president & CEO, expressed enthusiasm about the acquisition, highlighting its alignment with A&B’s strategic goals. “We’re excited to add the Pearl City distribution facility as the newest asset to our portfolio. This acquisition aligns with Alexander & Baldwin’s strategy to expand our commercial real estate portfolio in Hawai’i, focusing on retail, industrial, and ground lease assets,” Parker stated. He further emphasized the asset’s value, stating, “The asset is fully occupied under a long-term lease to an established food service provider that serves our local community, and it strengthens our position in O’ahu’s tight industrial market and allows us to reinvest proceeds from the sales of assets into higher-yielding investments that enhance our portfolio and deliver long-term value. We expect this investment to be immediately accretive to Funds From Operations (FFO).”
Alexander & Baldwin, Inc. (A&B) holds a unique distinction as the sole publicly-traded real estate investment trust (REIT) dedicated exclusively to Hawai’i commercial real estate. A&B is also the state’s largest owner of grocery-anchored, neighborhood shopping centers. With a diverse portfolio spanning approximately 4.0 million square feet of commercial space in Hawai’i, A&B’s holdings encompass 22 retail centers, 14 industrial assets, and four office properties, along with 142.0 acres of ground lease assets. A&B’s deep-rooted history, spanning over 154 years, demonstrates its adaptability and leadership role in the development of Hawai’i’s economy across various sectors, including agriculture, transportation, tourism, construction, and residential and commercial real estate. For more information about A&B, please visit their website at www.alexanderbaldwin.com.
