Merritt Properties announced Aug. 28 it acquired a five-building industrial park at 5022 Gate Parkway that it has renamed from The Meridian at Deerwood to Merritt at Gate Parkway.
Merritt said it paid $19.6 million for the property, which is south of St. Johns Town Center and offers access off of Butler Boulevard on Gate Parkway.
Merritt said it bought the property Aug. 28 through receivership.
The 200,000-square-foot light industrial park has space available for lease starting at 3,500 square feet. The park offers 14-foot clear heights and parking.
Merritt said the property is 60% occupied. Among the tenants, Deutsche Bank leases Buildings 100 and 200.
Duval County Property Appraiser records show the property comprises 26.75 acres. The buildings were developed from 2000 to 2003 and range from more than 31,000 to about 50,000 square feet of space.
The property was sold by Taurus Investment Holdings LLC. through CD119 Meridian LLC, which paid almost $23.57 million for the property in 2006.
The Cushman & Wakefield commercial real estate firm announced Aug. 29 that it arranged the sale of the properties previously owned by Taurus Investment of Boston.
Cushman & Wakefield senior directors Karl Johnston and Traci Jenks represented the seller.
Merritt Properties, based in Baltimore, focuses on flexible industrial space. It said in the release that the South Jacksonville submarket reported a light industrial vacancy rate of less than 3%.
The release said the development had transitioned to a single-story office layout, “but with increasing demand for small-bay light industrial spaces, Merritt Properties identified a prime opportunity to convert the property to Class A light industrial use.”
Merritt plans to install drive-in docks and upgrade the facilities to meet industrial standards.
Merritt at Gate Parkway’s established tenants include DB Structured Products and MMI.
“With its prime location, we are thrilled to expand our light industrial presence in Jacksonville with the acquisition of Merritt at Gate Parkway, which underscores our ongoing commitment to providing quality industrial spaces in key markets,” said Pat Franklin of Merritt Properties in the release.
“We are dedicated to enhancing the park’s infrastructure to ensure that both current and future tenants benefit from a premier industrial environment.”
Gary Swatko of Merritt Properties said that Merritt at Gate Parkway “represents a tremendous opportunity for us to restore top-tier industrial space in a high-demand area.”
“The potential for redevelopment is vast, and we’re eager to transform this site into a modern, thriving industrial hub. This acquisition is a key component of our strategy to support Jacksonville’s economic growth by providing the essential infrastructure businesses need to succeed,” Swatko said.
Merritt Properties said it considers the acquisition a significant step in its Jacksonville expansion.
It owns and operates Imeson Landing Business Park, another five-building industrial park, with plans to expand with three additional buildings.
Merritt is developing Oakleaf Commerce Center in Clay County and it bought Magnolia Park, a three-building business park, during its initial expansion into Jacksonville in 2021.
Merritt now has more than 500,000 square feet of light industrial space.
Established in 1967, Merritt Properties is a full-service commercial real estate firm with more than 21 million square feet of office, warehouse, industrial, retail and build-to-suit throughout Maryland, Florida, North Carolina and Virginia.