Investment Overview

Marcus & Millichap is pleased to present the opportunity to acquire the property located at 2323 17th Street in Elkhart, Indiana. The subject property consists of approximately 79,168 square feet of warehouse space situated on 5.79 acres. The two-building industrial property features 16' clear height, eight dock-high doors, one grade-level door, a wet sprinkler system, and three-phase heavy power with 3,000 amps and 480 volts. The property also recently underwent a new metal roof replacement in 2020, which was a significant capital improvement. Located three miles from downtown Elkhart, the property has close proximity to U.S. Route 20 and Interstate 90. MSC Industrial Supply anchors 89.1 percent of the property on a triple-net lease at $1.83 per square foot through March 2027. The lease is pending renewal and can be rolled over month-to-month with a 150 percent rental escalation. Additionally, there is 8,628 square feet of vacant space available, creating an immediate lease-up opportunity for potential investors. This presents a chance to increase revenue and further enhance the property's value. The South Bend-Mishawaka Metropolitan Statistical Area, where Elkhart is situated, is a thriving market with a population of over 319,000 people, spanning across two counties in northern Indiana and southern Michigan. The market is experiencing positive trends in job growth, driven by its strong manufacturing sector, and population growth, with many new residents attracted to the area's affordable cost of living and outdoor recreational opportunities. Major transportation infrastructure in the area includes several highways, which provide easy access to Chicago and other major Midwestern cities. The market is also home to several major industries, including recreational vehicle manufacturing, healthcare, and education, with companies such as Thor Industries and Forest River, Inc. having a significant presence in the area.