Soft Landing???

TRANSACTIONS
Acquisitions and Dispositions

ACQUISITION: Triten acquired a 20 acre site in the heart of the DFW market. Reach out to David Guinn, Martin Grossman, and Logan Weatherford for leasing information. This is an incredible location in the heart of the DFW Metroplex with access to major thoroughfares. The site features two maintenance buildings with oversized drive-through doors and substantial outdoor storage.

ACQUISITION: Catalyst Investment Partners acquires a 3.14 AC IOS site in Baltimore. The property will be occupied by Ryder Truck Rental until the end of this year. This site is less than 2 miles from I-95 and less than 10 miles from BWI Airport / Fairfield Marine Terminal. Andrew Meeder, Matthew Curran, SIOR, and Dan Hudak, SIOR, represented the buyer.

ACQUISITION: Zenith IOS acquired a fully stabilized, 4 acre site in Seattle. Cushman & Wakefield’s Scott Alan, SIOR helped get this infill deal done.

LEASING 
Leases Signed

LEASE/SALE: Alpha Paving Industries signed a lease on 1.96 AC in Fort Worth, TX. They are leasing 7,000 sqft of building with yard next to a new Class A industrial development. The lease commences Jan 2025 and if you’re interested in purchasing the property, it’s for sale! Contact Mickey Morera at Kidder Matthews for more information.

MARKET INFO
Ticker

In the News

Tariffs and energy production are two of the important issues impacting industrial real estate this presidential election. The two candidates have differing stances on energy - Harris heavily supporting renewables while Trump is focused on oil and gas. Both candidates appear to be in favor of tariffs (though their approaches differ), which would support US manufacturing and energy production in some sunbelt and midwestern states, but could also potentially lead to higher prices and inflation.

IOS DIVE
Institutional Investors Want IOS

This summer, an additional $3 billion of capital was raised to chase industrial outdoor real estate. $3 BILLION! Groups such as JP Morgan, TPG Angelo Gordon, and pension funds have partnered with leading national operators like Zenith, Alterra, and Triten to place the capital. These institutional investors are looking to find stabilized properties, in high population growth areas, with credit tenants in place.

IOS remains a highly fragmented space and it can be difficult to find the ideal trifecta described above. Many of these JVs are on a timeline to deploy capital and are structured in a way that makes it hard to execute on value-add strategies of IOS sites. The ideal scenario for them is to gobble as much infill IOS sites as efficiently as possible. This pairs well with the fact that there are local operators with capital to deploy that are well positioned to complete a value-add lift on IOS sites across the US, before stabilizing and selling to the larger institutional investors. IOS Yard Dogs come in many forms!!

RECS
Worth a Look

• Article: California AB 98 Bill Passed — This bill impacts industrial real estate in a number of ways, one of which is by requiring setback and buffer zones of up to 500 feet. Industrial real estate folks aren’t too happy about it, and a response to the bill can be found here.

• Podcast: OpenAI Raises Record-Breaking $6.8B & Jeep Sales are Plummeting by The Morning Brew — OpenAI’s recent (and massive) funding round makes it the largest VC deal of all-time. Stellantis, the owner of Chrysler and Jeep, posts weak sales. Car dealers are holding cars that no one is buying. And these car dealerships are big yards with small buildings…

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