Property Sale Overview
A significant transaction has taken place in Hanover County, Virginia. The sale of the Lewistown 95 Logistics Center highlights a critical shift in regional warehouse strategy.
The property spans 552,587 square feet of modern warehouse space. It is strategically located in the Winding Brook mixed-use area, part of a sought-after community.
Its investment potential is underscored by its location advantages. Immediate access to Interstate 95 facilitates rapid distribution to key East Coast markets and the Richmond Region. A strategic focus on long-term strategies over quick gains can enhance the property’s viability.
This real estate asset features robust infrastructure. It boasts 60 dock doors, four drive-in doors, and 40-foot clear ceilings.
These features enhance its appeal for logistics and manufacturing operations. Positioned near vital amenities and a substantial labor force, it meets the growing demand for strategic warehouse investments.
Seller & Buyer Details
The momentous sale of the Lewistown 95 Logistics Center sets the stage for examining the parties involved in this remarkable transaction.
The prominent sellers, Raith Capital Partners and Equity Industrial Partners, have an established history of shaping industrial markets through significant dealings. Past high-value sales in Richmond and Jacksonville demonstrate their strategic prowess in industrial property portfolios. Despite a notable decline in 2025, Richmond-Tidewater’s industrial transaction volume highlights the ongoing significance of strategic acquisitions in the area. An understanding of the local market’s trends, demographic shifts, and economic movements is often a critical component of successful property investments.
On the buyer’s side, J & J Hickory Hill, an LLC tied to Lake Washington Partners, emerges with clear buyer motivations. Its affiliation with Jordan Lott reflects a strategic interest in acquiring Class A industrial assets. This deal not only marks Lake Washington Partners’ entry into the Richmond market but also aligns with their vision. They aim to leverage supportive business environments and prime logistics locations for ideal distribution.
Property Features & Logistics
Richmond’s industrial landscape is undergoing a significant transformation with the introduction of the Hanover warehouse. This facility boasts an impressive 1.1 million square feet of industrial space.
Situated on 190 acres in Graymont Industrial Park, its vast size offers flexibility for various warehouse specifications. There are also options for future expansion.
Located strategically near Ashland, the warehouse enjoys considerable transportation advantages. Access to the I-95 corridor ensures seamless connectivity for logistics services.
Being close to Norfolk Port further enhances its import/export operations. The proximity to the sixth-largest U.S. port is a considerable advantage.
The major road network nearby facilitates extensive regional and national freight movement. This location is bolstered by a robust industrial infrastructure catering to diverse tenant needs.
Amenities such as ESFR sprinkler systems contribute to operational efficiency. Additionally, extensive parking facilities underscore the strategic appeal of this major acquisition.
Market & Industry Context
Although the Richmond metropolitan industrial market remains a powerhouse in the Mid-Atlantic region, early 2025 showed signs of strain.
Market trends indicated a notable shift, with a downturn in net absorption and rising vacancy rates.
Despite these challenges, investment confidence was bolstered. Q1 2025 sales volume exceeded $140 million, reflecting robust investor interest.
The manufacturing sector experienced a compressed vacancy of 2.2%. This underscores persistent demand for industrial space.
Meanwhile, Hanover County, with 20.4 million square feet of industrial inventory, faced a higher vacancy rate of 8.1%.
Conversely, Chesterfield County maintained the largest inventory at 31.7 million square feet. Despite this, it experienced a 6% vacancy rate.
These dynamics offer insight into the shifting equilibrium between supply and demand in the region’s industrial market terrain.
Assessment
The acquisition of the Hanover warehouse by a Richmond firm for $128 million underscores a rising trend. It highlights strategic property investments in the region’s logistics and industrial sectors.
As supply chain demands intensify, such acquisitions reflect the market’s potential. This highlights the critical demand for expansive, strategically located facilities.
With this substantial transaction, the Richmond firm solidifies its standing within the competitive logistics arena. It also signals heightened investor confidence in the area’s economic growth prospects.
