Blackstone acquires $358M warehouse portfolio

Properties are in California, northern New Jersey and Pennsylvania

National /
Dec.December 04, 2020 10:34 AM
Blackstone's Jonathan Gray (Getty; iStock)

Blackstone’s Jonathan Gray (Getty; iStock)

Blackstone is doubling down on logistics with its acquisition of a $358 million warehouse portfolio.

The asset manager bought 13 properties from Iron Mountain, which will lease back the properties in California, northern New Jersey and Pennsylvania’s Lehigh Valley, Bloomberg reported. The portfolio totals 2.1 million square feet, adding to Blackstone’s existing warehouse portfolio, which was approximately 800 million square feet in February 2020.

The sale represents the latest logistics deal for Blackstone continues to strengthen its holdings in the sector, which has performed well in the pandemic. Last year, the firm dropped $19 billion on a massive industrial portfolio, and it’s continued its investments in the sector throughout the pandemic.

“Fundamentally, this transaction to us is about buying great real estate in very strong industrial markets,” Nadeem Meghji, Blackstone’s head of real estate in the Americas, told Bloomberg. “First and foremost, we’re focused on location and asset quality. We believe these are good assets to own.”

The demand for e-commerce has risen steeply in recent months, continuing a trend that existed long before many Americans were sitting at home. Other investors have shown increased interest in the sector, too. KKR is currently in talks to purchase an $800 million portfolio of warehouses in Atlanta, Baltimore, Dallas and Chicago.

[Bloomberg] — Georgia Kromrei


Related Articles

arrow_forward_ios
HFZ, partners put historic Detroit building on the market
HFZ, partners put historic Detroit building on the market
HFZ, partners put historic Detroit building on the market
These hotel markets have entered a depression
These hotel markets have entered a depression
These hotel markets have entered a depression
Cherre CEO L.D. Salmanson (Cherre/Facebook)
Real estate data firm Cherre raises $50M
Real estate data firm Cherre raises $50M
(Tropicana Las Vegas via Facebook, Bally's Corp)
Bally’s buys Las Vegas’ Tropicana casino for $150M
Bally’s buys Las Vegas’ Tropicana casino for $150M
Doctors and medical professionals have remained on time with their rent payments in the past year (iStock)
Medical offices are just what the doctor ordered for landlords
Medical offices are just what the doctor ordered for landlords
The rate of loans sent to special servicers continued to fall in March. (Unsplash)
CMBS special servicing rate declines in March
CMBS special servicing rate declines in March
Tesla’s Gigafactory (Tesla)
Over 340M sf of industrial space set for delivery in 2021
Over 340M sf of industrial space set for delivery in 2021
JLL CEO Christian Ulbrich. (Getty)
JLL explores sale of China property management wing
JLL explores sale of China property management wing
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...