EDITOR’S NOTE: We are posting the following story due to its significance to the industry although our website will continue to be idle during the holiday period. We will restart the site the morning of Tuesday, Jan. 2.
National RV Holdings Inc. today (Dec. 28) announced that it has entered into a new agreement to sell and lease back property at its headquarters in Perris, Calif., with First Industrial Acquisitions Inc.
According to a press release, the previous agreement entered into on Nov. 22 with Perris-based Warrior Holdings Inc., which markets Weekend Warrior-branded recreational vehicles, was terminated on Dec. 20 due to Warrior’s inability to obtain a timely financing commitment from its lender.
First Industrial is an affiliate of First Industrial Realty Trust Inc., a national provider of diversified industrial real estate.
The new agreement, which contains no third-party financing contingencies, will infuse $31.75 million into National RV Holdings and calls for the company to enter into a 10-year lease arrangement with two five-year renewal options. The deal is expected to close on Feb. 15.
National RV Holdings builds Class A motorhomes through two wholly owned subsidiaries, Perris-based National RV Inc., which targets the mainstream market, and Country Coach Inc. in Junction City, Ore., a more upscale builder.
National RV Holdings has struggled financially over the past six years. During the past year, the firm’s cash flow was further aggravated by the rebuilding of 72 motorhomes due to defective fiberglass panels coupled with continued softness in the motorized sector.