FedEx

FedEx Triple Net Investment Opportunity
Orlando MSA, Florida

This offering presents an exceptional opportunity to acquire a FedEx ground distribution facility located within the Orlando Metropolitan Statistical Area. Positioned on a strategically located industrial parcel with excellent access to major highways, fee simple ownership, and an absolute triple net lease backed by a corporate guarantee, this asset provides investors with a stable and long-term income stream from one of the world’s most trusted logistics companies. With a firm 10-year lease term and annual rental escalations, this property offers a truly passive investment in a fast-growing market.

Location and Market Overview
The property is strategically situated in the Orlando MSA, benefiting from proximity to key transportation corridors including Interstate 4, the East-West Expressway (State Road 408), and the Florida Turnpike. Daily traffic counts on the adjacent roads exceed 45,000 vehicles, ensuring excellent visibility and accessibility for logistics operations. The site’s location supports efficient regional distribution throughout Central Florida and beyond.

Orlando is a vibrant metropolitan area with a population exceeding 2.6 million residents. The region’s economy is driven by diverse sectors including tourism, technology, healthcare, aerospace, and logistics. The continued expansion of e-commerce and fulfillment services has created strong demand for industrial properties like this FedEx facility, supported by Orlando’s robust infrastructure and business-friendly environment.

Demographics
The surrounding area is home to a large and growing workforce, with strong household incomes and stable commercial activity. Within three miles, the population exceeds 120,000 residents with average household incomes around $68,000. The greater Orlando metro boasts a diverse labor pool, supporting sustained demand for logistics and distribution services.

Property Details
The subject property sits on approximately 4.2 acres and features a modern industrial building totaling 18,500 square feet. The facility includes clear height ceilings, multiple loading docks with dock levelers, trailer parking, and extensive truck courts designed for efficient circulation of delivery vehicles. The site layout supports smooth ingress and egress, optimizing operational efficiency.

Ownership is fee simple, providing the investor with full rights to land and improvements, free from ground lease restrictions and offering maximum investment security.

Lease Structure and Tenant Guarantee
The property is leased to FedEx Ground Package System, Inc. under an absolute triple net lease. The tenant is responsible for all operating expenses including property taxes, insurance, maintenance, and repairs. This lease structure offers a hands-off, passive investment with no landlord management obligations.

The lease term is a firm 10 years with no renewal options, ensuring predictable income. Annual rental escalations of 2.5% provide steady income growth and protection against inflation.

FedEx Ground is a subsidiary of FedEx Corporation, a global leader in package delivery and logistics services with an investment-grade credit rating. The corporate guarantee provides unmatched security for investors.

Tax Benefits and Bonus Depreciation
While industrial properties typically have limited bonus depreciation on building structures, investors may benefit from accelerated depreciation on specific components through cost segregation studies. This can improve after-tax returns when combined with the property’s stable cash flow.

Surrounding Area and Trade Drivers
Orlando’s robust economy and transportation infrastructure make it a prime location for logistics and distribution. The region supports major highways, airports, and rail connections, facilitating rapid delivery and distribution. The nearby Orlando International Airport serves as a significant cargo hub, further enhancing the site’s logistical advantage.

The property is located in an established industrial submarket surrounded by other logistics, warehousing, and distribution tenants. The area benefits from a large labor pool and strong industrial demand driven by e-commerce growth and supply chain expansion.

Investment Highlights

• Absolute triple net lease with FedEx Ground Package System, Inc., relieving the landlord of all operational responsibilities.
• 10-year firm lease term with 2.5% annual rental escalations, delivering predictable income growth.
• Corporate guarantee from FedEx Corporation, a globally recognized logistics leader with investment-grade credit.
• Fee simple ownership of a 4.2-acre industrial parcel with a 18,500-square-foot distribution facility.
• Prime location in the Orlando MSA with excellent highway access and visibility.
• Daily traffic counts exceeding 45,000 vehicles on adjacent roadways.
• Situated within a strong industrial market supported by diverse economic sectors.
• Attractive financing opportunities supported by tenant creditworthiness and lease structure.

Buyer Profile and Financing
This property is ideal for 1031 exchange buyers, institutional investors, family offices, and private equity seeking a low-management, long-term net lease investment. The combination of fee simple ownership, an absolute NNN lease, and a corporate guarantee ensures strong lender appeal and competitive financing terms. Investors benefit from steady cash flow, annual rent increases, and exposure to a thriving regional economy.

Conclusion
This FedEx ground distribution facility in the Orlando MSA offers a best-in-class net lease investment with long-term income stability and growth potential. Featuring a corporate guarantee, absolute triple net lease, fee simple ownership, and a prime industrial location, this asset represents a compelling opportunity for investors seeking passive, inflation-protected cash flow from a top-tier tenant.

Qualified investors are encouraged to request the full offering memorandum, financial information, and acquisition details.