Loci Capital, Hersh Equity Group Acquire 230K SF Small-Bay Industrial Portfolio in South Florida
Loci Capital, in partnership with Hersh Equity Group, has acquired a six-building, 230,000-square-foot small-bay industrial portfolio in West Park, FL, a submarket within the Fort Lauderdale MSA. The acquisition reflects growing investor interest in infill industrial assets catering to service-oriented small businesses and trades.
The portfolio comprises 116 suites, each averaging 1,000 to 2,000 square feet, and is strategically located adjacent to a Home Depot, benefiting from high visibility and accessibility. The location’s demand fundamentals—marked by minimal vacancy and limited new supply in the small-bay segment—make it an attractive value-add opportunity.
The partnership has outlined a five-year business plan centered on bringing in-place rents up to market levels and executing a series of targeted property improvements, including exterior painting, upgraded lighting, and enhanced signage. The deal includes $38 million in seller-provided financing at a fixed 4.61% interest-only rate for five years.
“This investment aligns perfectly with Loci’s strategy of acquiring well-located, under-managed assets in partnership with specialized local operators,” said Dave Workman, Managing Principal at Loci Capital. “Small-bay industrial product in Broward County remains in high demand with minimal vacancy, and we are confident in our ability to unlock significant value.”
Juda Hersh, Managing Partner of Hersh Equity Group, added, “Our local expertise combined with Loci’s institutional platform will allow us to maximize the value of this portfolio while continuing to serve the needs of small businesses in this market.”
The partnership expects to achieve a stabilized yield on cost of approximately 8% by year five, positioning the asset for an institutional exit.
Loci Capital, headquartered in Tampa, manages over $1.3 billion in assets across industrial, multifamily, and hospitality sectors. Miami-based Hersh Equity Group, founded in 2020, specializes in Florida’s small-bay industrial niche and now manages over 550,000 square feet of industrial real estate.
Pictured: Small-bay industrial portfolio in West Park, FL