(EDITOR’S NOTE: According to sources with knowledge of the deal, the portfolio sold for approximately $800 million. Stockbridge completed the deal with four non-US sovereign wealth funds.)
SAN FRANCISCO – (Nov. 12, 2019) – Stockbridge announced today that it has acquired an 8.7-million square foot industrial logistics portfolio from a private company. The portfolio consists of 17 fully stabilized properties, majority newly constructed with an average year built of 2018. The properties span nine U.S. markets: Dallas/Fort Worth, Eastern Pennsylvania, Nashville, Cincinnati, Jacksonville, Columbus, Chicago, Las Vegas and Austin.
“This portfolio stands out for its high-quality, modern construction and well-connected, population-rich locations where major e-commerce industry tenants have chosen to expand their footprints,” said Nicole Stagnaro, Managing Director and Head of Opportunistic and Platform Transactions. “In combination, these factors support the kind of cash flow visibility we expect from a long-term core portfolio.”
The transaction comes three months after Stockbridge acquired 26 logistics and e-commerce properties from Westcore Properties.
“Our latest in a series of industrial portfolio acquisitions further underscores our conviction in the structural drivers underpinning industrial real estate fundamentals,” said Kristin Renaudin, Chief Financial Officer. “With e-commerce growth still in its infancy, we believe the continued disruption of conventional distribution models will support heightened industrial space demand for the foreseeable future.”
For both transactions, PGIM Real Estate Finance served as the lender and Jones Lang LaSalle will serve as property manager.
Stockbridge is a real estate investment management firm led by seasoned professionals averaging 25+ years of real estate industry experience. The firm manages real estate equity investments across the risk spectrum within a variety of investment structures on behalf of U.S. and foreign institutional investors. Stockbridge has approximately $15.9 billion of assets under management (preliminary, as of September 30, 2019) spanning all major real estate property types, and certain specialty property types, throughout the United States. The firm has offices in San Francisco, Atlanta and Chicago.