Artemis JV Picks Up 2.5 MSF Kansas City Portfolio

The joint venture of Arch Street Capital Advisors and Artemis Real Estate Partners has acquired a 2.5 million-square-foot, Class A industrial portfolio in the Kansas City, Mo., metro area.

Ares Management sold the four-building collection, while Northwestern Mutual provided a permanent loan, according to CommercialEdge.

The sale closed after Barings LLC entered into an agreement to acquire Artemis. That deal will be finalized by the end of this quarter.

The buildings are within Logistics Park Kansas City, a 2,352-acre master-planned industrial campus. The park has 15.5 million square feet of completed space and has a total capacity of 26.5 million square feet.

Located in Edgerton, Kan., within the Outlying Johnson County submarket, the four facilities are:

• Inland Port II, a 327,686-square-foot property at 31426 W. 191st St.
• Inland Port V, a 655,463-square-foot building at 31201 W. 187th St.
• Inland Port XII, a 657,354-square-foot facility at 30801 W. 191st St.
• Inland Port XIV, a property totaling 822,104 square feet at 19451 Waverly Road

The portfolio was fully leased at the time of sale. The tenant roster includes DEMDACO, Wagner Logistics, Walmart and Amazon—which fully occupies the largest of the four buildings.

Tenants have access to a nearby 443-acre BNSF intermodal facility. The logistics hub is a critical supply chain location that allows direct connections to transcontinental railroad systems. The properties are also near Interstate 35, within 35 miles of Kansas City and 50 miles of Kansas City International Airport.

Built between 2014 and 2017, the facilities include 32-, 36- and 40-foot clear heights, ESFR sprinkler systems, cross-dock configurations, loadings doors, dock levelers and bumpers and a total of 978 vehicle parking spots. All assets are one-story buildings, with ample column spacing and office components.

Ares Management previously owned the four properties, as part of a 10-building collection that it had acquired in 2017 from NorthPoint Development, according to CommercialEdge information. In July 2024, the 6.4 million-square-foot portfolio was refinanced with a $244 million loan held by Barings.

Recent Midwest portfolio deals

A few other major portfolio deals closed in the Midwest region since the start of the year, signaling investor confidence in its industrial sector. Late last month, Investcorp paid $335 million for 27 industrial assets totaling 2.7 million square feet of space across two metro areas. Of the total, 17 properties are in metro Minneapolis.

In January, SL Industrial Partners picked up a 17-building industrial flex portfolio across three business parks in Chicago’s suburbs. Stockbridge sold the assets, which encompass a total of 925,391 square feet.