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Heartland Express sold three terminals and entered into lease agreements, repeating a sale-leaseback move the carrier made last year in California, given the hot real estate market.
The Iowa-based carrier did not specify the locations, but will shift to leases of two years or less at each, according to a securities filing Monday.
A real estate database with San Joaquin County in California reported Monday that Heartland sold terminal space in Lathrop for $30.9 million. A government business database listed the new owner’s address as that of global investment firm Carlyle.
The company expects a profit of about $25 million before taxes from the sale of the three terminals.
Last year, the carrier also picked up real estate through a TFI International deal involving assets from Contract Freighters, adding facilities in West Memphis, Arkansas. Sanford, Florida; Taylor, Michigan; Joplin, Missouri; and the border cities of Laredo, Texas and Nuevo Laredo, Tamaulipas, Mexico.
And in a deal related but separate from the acquisition of Smith Transport, Heartland acquired the former company’s Roaring Spring, Pennsylvania, truck terminal and warehouse space for $14 million in cashaccording to a company announcement.
Although Heartland did not provide a rationale for this round of releasing, the Rancho Cucamonga release was prompted by a hot real estate market in California, CFO Chris Strain told Trucking Dive in 2022.