Total Square Footage: 62,350
Acquired: May 12, 2022
Tenant Name: Virginia Abrasives Corporation
On May 12, 2022, Royal Oak acquired the headquarters and manufacturing facility of Virginia Abrasives Corporation (“VAC”) located in Petersburg, Virginia. This is our first investment in that state. The property is located in the Richmond metropolitan statistical area. VAC signed a 25-year absolute net lease at closing.
The property was originally built in 1966, undergoing significant expansion and renovation throughout the 1980s and 1990s. The property is 62,350 square feet and sits on approximately 4.96 acres. The well-maintained facility houses its corporate staff, main distribution space, and all of its in-house manufacturing. The facility is within one mile of I-295 and sits adjacent to I-95, one of the most heavily trafficked highways in the United States. The location has direct access to the ports at Norfolk via Route 460 and is located at the midpoint of I-95, which runs from Maine to Florida.
Founded in 1971, Virginia Abrasives Corporation manufactures and distributes construction abrasives products to the equipment rental, professional flooring, and industrial markets. The Company’s product offerings include sandpaper products, diamond and bonded abrasive cutting wheels, non-woven abrasives for floor maintenance, construction equipment, and related products. VAC manufactures and distributes consumable products for various machines offered by rental stores, including hardwood floor sanders, floor buffers, cut-off saws, road construction saws, angle grinders, specialty floor grinders, portable belt sanders, and orbital sanders. The company’s revenues are diversified across the rental/construction supply (75%), professional flooring (20%), and industrial/converter (5%) categories. VAC serves over 3,200 customers with no single customer accounting for more than 6% of revenues. VAC is one of only a handful of US-based coated abrasive manufacturers, enabling it to sell jumbo rolls to converters and sell its own sandpaper finished goods, including sheets, discs, belts, and rolls.