Gramercy Property Trust Acquires $642M Fulfillment Center Portfolio Through New E-Commerce JV
A new joint venture launched by New York's Gramercy Property Trust REIT has acquired a $642M portfolio of e-commerce fulfillment centers around the country.
The venture, anchored by an unnamed sovereign investor, bought seven newly constructed Class-A bulk distribution properties that span 6M SF. The JV will own and manage the portfolio, which is spread throughout markets in Texas, California, Florida, New England, New Jersey and Virginia.
“We are excited to establish this new venture to target a very interesting opportunity in today’s industrial marketplace. The joint venture will allow us to capitalize on the growing demand for e-commerce distribution facilities across the United States and generate attractive risk adjusted returns for our public shareholders,” GPT Managing Director Britt Winterer said in a release.
The transaction of the first four properties is expected to be complete by Q4 while the remaining three properties will be attained in Q3 2018.
GPT also announced the acquisition of a $479M portfolio that includes 41 high-quality modern warehouse buildings spread over 7.8M SF. The buildings are in six key logistics areas throughout the country, including Atlanta, Chicago, Columbus, Dallas, Houston and Memphis.
According to the release, the deal is expected to close in Q3 and will bring the company's 2017 investment volume to $998M.