Majestic Steel
Sale-leaseback capital enables leading steel distributor to strengthen business and optimize capital structure
Majestic Steel
W. P. Carey completes $92 million sale-leaseback of Class-A industrial and distribution facility
Tenant Description: Founded in 1979, Majestic Steel is a leading distributor and processor of flat-rolled steel products.
Total Investment: $92 million
Transaction Type: Sale-leaseback*
Location: Arkansas
Square Footage: 513,600 square feet
Facility Type: Industrial and distribution facility
In March 2025, W. P. Carey completed the $92 million sale-leaseback of a steel processing and distribution facility located in Arkansas. Totaling 513,600 square feet, the facility is net leased to Majestic Steel, a privately held and family-owned distributor and processor of steel products, for a term of 24 years.
The facility is Majestic Steel’s largest and most cutting-edge service center used for steel processing and distribution. The company has also made significant investments into the facility, underscoring its criticality. It is strategically located in the largest steel producing region in the U.S. with proximity to the Mississippi River, which enables it to transport raw materials and finished steel products via barges, rail and highways.
*In a sale-leaseback, a company sells its real estate to an investor like W. P. Carey for cash and simultaneously enters into a long-term lease. In doing so, the company extracts 100% of the property’s value and converts an otherwise illiquid asset into working capital to reinvest in its business or pay down debt, while maintaining operational control.
We’re thrilled to partner with Majestic Steel on this sale-leaseback, enabling them to unlock capital from their real estate to reinvest in their core business objectives. This transaction demonstrates our ability to partner with all types of companies – including family-owned businesses – and is a prime example of our investment philosophy focused on high-quality, mission-critical properties in good locations leased on a long-term basis. We look forward to welcoming our newest tenant and working with them throughout the duration of their lease.
W. P. Carey was a true partner throughout this transaction—thoughtful, responsive and committed to finding a solution that worked for everyone. Their ability to navigate complexity and close with certainty made a real difference for Majestic Steel.