Blackstone Actual Property Revenue Belief Inc. and LBA Logistics, of Irvine, Calif., have recapitalized two industrial portfolios owned by LBA and totaling $1.6 billion of gross worth.
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Blackstone REIT acquired an roughly 60 p.c mixed curiosity throughout the 2 portfolios, and LBA’s funding fund and its traders retained the steadiness.
The portfolios include 71 high-quality belongings totaling 9.5 million sq. toes and are about 95 p.c occupied general. The properties are predominantly in last-mile areas in West Coast markets, the overwhelming majority being in California and Seattle.
Brian Kim, Blackstone REIT’s head of Acquisitions & Capital Markets, mentioned in a ready assertion that logistics “is one among our highest conviction funding themes globally, and this acquisition illustrates BREIT’s continued momentum executing on thrilling alternatives with vital progress potential.”
Phil Belling, an LBA managing associate, added: “These belongings are benefitting from the sturdy fundamentals within the industrial sector, which we consider will proceed to be enticing over the long-term.”
After this transaction closes, greater than 90 p.c of Blackstone REIT’s actual property investments might be in multifamily, industrial and net-leased belongings, with industrial representing greater than 35 p.c of the portfolio.
Eastdil Secured served as an advisor to LBA Logistics. Blackstone REIT was suggested by Simpson Thacher; that staff included actual property companions Sas Mehrara, Whitney Salinas and Danielle Jackson and tax associate Nancy Mehlman.
Final June, LBA bought Sand Lake Commerce Center, a two-building, 230,117-square-foot Class A industrial asset close to Orlando Worldwide Airport. The deal fetched $26.4 million for the developer/vendor, McDonald Growth Co.
And in December, LBA and associate RXR Realty received $316 million in construction financing for Grand Logistics Middle, within the Maspeth neighborhood of Queens, N.Y., from JP Morgan Chase. The 1.1-million-square-foot, multi-story property is scheduled for completion in December 2022 and is already totally leased to Amazon.