CHICAGO–(BUSINESS WIRE)–Logistics Property Company, LLC (“LPC”) has closed its second core development fund, LPC Logistics Venture Two LP, (“Venture II”) with equity commitments totaling $1.8 billion from the share of several global institutional investors and co-investment by LPC.
To date, 35% of the fund has been allocated to investments in Atlanta, Chicago, Dallas, Denver, Inland Empire, Pennsylvania, Phoenix and southern New Jersey, with significant capital to be deployed for new development projects that bring value to investors.
LPC launched its first core development venture in August 2019, raising $1 billion in equity commitments from global institutional investors (“Venture I”) and LPC. LPC has fully allocated equity from Venture I to projects representing over 20 million square feet across the United States States.
The success of the capital raised for Venture II “is a testament to the opportunistic industrial real estate market and strong core business development strategy offering investors the opportunity to own Class A industrial facilities in Tier 1 to an attractive price,” said LPC CEO Jim Martell. .
LPC appreciated the number of investors from Venture I who have committed to Venture II and is proud to add several new great institutions to participate in Venture II. Similar to Venture I, Venture II’s execution strategy is to purchase well-located properties in US markets, develop Class A industrial buildings to modern specifications, including key ESG considerations, stabilize assets and build a geographically diversified portfolio.
In 2022, LPC announced the start of five new developments for Venture II totaling 2.3 million square feet. Respective developments include Covington Commerce Center in Georgia, First State Logistics Center in Delaware, 975 Algonquin, 2800 W. Diehl Road and 4275 Ferry Road, all in Illinois.
A Venture II project that is expected to start before the end of calendar year 2022 includes the Palm Gateway Logistics Center, which comprises four buildings totaling 613,000 square feet, located in Mesa, Arizona.
Venture II has also closed on the land for a new 341,000 square foot warehouse development in San Bernardino, Calif., slated to begin construction in the second quarter of 2023.
MAM Real Estate, part of the Macquarie Group and majority shareholder of LPC, acted as financial advisor and exclusive placement agent to the fund and partnered with LPC’s management team to form the platform. MAM Real Estate is part of Macquarie Asset Management, one of the world’s leading alternative asset managers.
About Logistics Property Co.
Logistics Property Company, LLC (LPC) is an industrial real estate company focused on the acquisition, development and management of modern logistics properties. The group is led by a diverse management team that averages over 25 years of experience and has developed over 55.3 million square feet of logistics buildings since 1995. LPC is headquartered in Chicago and has over 70 employees strategically distributed in eight offices. Its portfolio currently includes 52 buildings across 23 million square feet in major North American logistics markets, with an estimated final value of over $3 billion. For more information, please visit logisticpropco.com and follow @logisticspropco.