ROX Financial warehouse for Amazon to go public
WAREHOUSING & LOGISTICS

ROX Financial warehouse for Amazon to go public

A startup is trying to build something that U.S. real-estate executives say doesn’t exist in their industry today: a public company that owns only a single property.

The stated property is a 146,000 sq ft Bay Area warehouse leased to Amazon.com LLC. The startup, ROX Financial LP, intends to use an initial public offering to launch a real estate investment trust that would obtain the Amazon facility. It then expects to expand and hold a collection of warehouses to serve Amazon, the Seattle-based online giant, as per the June securities filing.

ROX Financial has applied to register the shares on the New York Stock Exchange’s Arca platform, an all-electronic exchange for exchange-traded funds and securities, public filings reveal.

It is providing 8,250,000 shares at $10 per share. It will value the startup at a small fraction of the $94 billion market capitalization of Prologis Inc., the largest industrial property REIT with the largest portfolio of warehouses leased by Amazon.

The company would be commencing with one warehouse in Oakley, Calif., about an hour east of San Francisco. The facility has been leased to Amazon under its current owner for 12 years. As per the filings, minimum rent payments due in the first year totalled $3.2 million.

The warehouse prepares orders for the last-mile delivery to Amazon customers and involves electrical infrastructure and automated conveyor systems for future vehicle charging stations. The 25-acre site, mounted last year, houses a fleet of grey-and-blue Amazon delivery vans in a business that competes with FedEx Corporation and United Parcel Service Inc.

As per a filing, ROX Financial intends to create Series AMZL into a curated portfolio of logistics properties in one or more locations leased by Amazon.com Services LLC, Amazon, or its affiliates.

The company, in its filing, said that it has the right to purchase two fulfillment centers in an area that is being created by a developer for Amazon lease, for up to a year after completion of a public offering.

Industrial real-estate developers have encountered an increase in growth in recent years, fueled mainly by demand from Amazon and other online retailers that require distribution space.

According to the National Association of Real Estate Investment Trusts, an industry trade association, a publicly-traded real-estate company that holds only a single property doesn’t exist in the U.S. today.

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Also read: IndoSpace to invest $300 mn to acquire land in warehousing

Also read: Mahindra Logistics expands warehousing capacity

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A startup is trying to build something that U.S. real-estate executives say doesn’t exist in their industry today: a public company that owns only a single property. The stated property is a 146,000 sq ft Bay Area warehouse leased to Amazon.com LLC. The startup, ROX Financial LP, intends to use an initial public offering to launch a real estate investment trust that would obtain the Amazon facility. It then expects to expand and hold a collection of warehouses to serve Amazon, the Seattle-based online giant, as per the June securities filing. ROX Financial has applied to register the shares on the New York Stock Exchange’s Arca platform, an all-electronic exchange for exchange-traded funds and securities, public filings reveal. It is providing 8,250,000 shares at $10 per share. It will value the startup at a small fraction of the $94 billion market capitalization of Prologis Inc., the largest industrial property REIT with the largest portfolio of warehouses leased by Amazon. The company would be commencing with one warehouse in Oakley, Calif., about an hour east of San Francisco. The facility has been leased to Amazon under its current owner for 12 years. As per the filings, minimum rent payments due in the first year totalled $3.2 million. The warehouse prepares orders for the last-mile delivery to Amazon customers and involves electrical infrastructure and automated conveyor systems for future vehicle charging stations. The 25-acre site, mounted last year, houses a fleet of grey-and-blue Amazon delivery vans in a business that competes with FedEx Corporation and United Parcel Service Inc. As per a filing, ROX Financial intends to create Series AMZL into a curated portfolio of logistics properties in one or more locations leased by Amazon.com Services LLC, Amazon, or its affiliates. The company, in its filing, said that it has the right to purchase two fulfillment centers in an area that is being created by a developer for Amazon lease, for up to a year after completion of a public offering. Industrial real-estate developers have encountered an increase in growth in recent years, fueled mainly by demand from Amazon and other online retailers that require distribution space. According to the National Association of Real Estate Investment Trusts, an industry trade association, a publicly-traded real-estate company that holds only a single property doesn’t exist in the U.S. today. Image Source Also read: IndoSpace to invest $300 mn to acquire land in warehousing Also read: Mahindra Logistics expands warehousing capacity

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