Cold storage is heating up in metro Atlanta, and LM Real Estate Partners just staked a big claim. The firm has acquired a newly constructed 99,750-square-foot cold-storage facility in Hiram, in the northwest Atlanta submarket, paying $27.5 million. The building is fully leased to Hungryroot, which will operate the site as its Southeast U.S. distribution hub.
According to ConnectCRE, Jones Development was the seller, and Colliers Capital Markets Advisors Robyn Hurrell, Kyle Kidd, Alex Cantu and Alex Davenport represented the seller. Colliers’ Debt & Structured Finance team, including Nathan Lynch and Michael Sogluizzo, arranged acquisition financing on behalf of the buyer, and the report says Hungryroot invested more than $6.3 million in material-handling systems, refrigeration enhancements, slab reinforcement and operational infrastructure.
Facility and tenant details
Jones Development delivered the 99,750-square-foot, tri-temperature build-to-suit, with roughly 22,680 square feet of freezer space designed to reach -10°F, 43,050 square feet of cooler space designed for 35°F and about 26,350 square feet of ambient storage, plus office space, according to Jones Development. The site is positioned within about 60 miles of Hartsfield-Jackson Atlanta International Airport. Hungryroot, an AI-driven grocery and meal-delivery platform, has leased the entire building and will use it as a mission-critical node in its national logistics network.
Why investors are chasing cold storage
Institutional appetite for modern cold-storage assets remains strong because these properties pair durable, grocery-backed tenancy with technical barriers to entry, according to CBRE. That combination helps explain why private buyers such as LM Real Estate Partners are paying for purpose-built refrigerated warehouses in gateway and last-mile corridors, as modern tri-temperature facilities are increasingly scarce, and therefore valuable, in dense consumer markets.
The Hiram purchase adds a purpose-built, tri-temperature distribution hub to the northwest Atlanta market and underscores how specialized logistics, from refrigeration systems to reinforced slabs and material-handling infrastructure, are becoming decisive in deal underwriting. For Atlanta-area logistics, the deal is a clear reminder that temperature-controlled real estate now sits at the core of the supply chain for online grocers and meal-delivery services.
