Brookfield, ATCAP Buy 3.5 MSF Industrial Portfolio

Denver logistics property acquired by ATCAP and Brookfield. Image courtesy of ATCAP.

Dallas-based ATCAP Partners and Brookfield have formed a joint venture and acquired a 3.5 million-square-foot national logistics portfolio comprised of 51 high-quality properties.

Brookfield formed the joint venture through its Real Estate Secondaries business, which was launched in 2020 to focus on general partner investors looking for flexibility and liquidity in managing their private market holdings.

In September, Brookfield formed a $1 billion partnership with Elion Partners to increase the logistics footprint in core infill markets for the Real Estate Secondaries business. Nearly a year ago, Brookfield’s Secondaries business agreed to recapitalize NorthBridge Partners’ East Coast 2.3 million-square-foot, last-mile industrial portfolio for $360 million.

For ATCAP, which focuses on institutional-quality industrial and office assets, the acquisition builds on its recent track record of investing in critical logistics assets in key regions. The firm’s national portfolio now contains more than 9.5 million square feet of industrial properties.

The portfolio acquired by the joint venture consists of high-quality properties that include infill locations in strategic, high-growth markets such as Dallas, Denver, Houston, Oklahoma City and Austin. The portfolio is currently more than 94 percent leased to high-quality tenants. Terms of the transaction were not disclosed and the seller was not identified. Eastdil Secured represented ATCAP in the transaction.

David Cartwright, ATCAP principal, called the transaction a milestone for the 13-year-old firm, which operates in 10 U.S. markets.  In a prepared statement, Cartwright cited the opportunity to team with an industry-leading partner.

Sun Belt Assets

ATCAP acquired a 562,758-square-foot warehouse in the Lake Mary, Fla., submarket near Orlando, Fla., from a joint venture of IP Capital Partners and Blue Vista Capital Management. ATCAP paid $30 million for the 33-acre Innovation Center at Lake Mary that was built in 1995 and expanded in 1998.

The company acquired two assets with a total of three industrial warehouse buildings in the Houston area from TA Realty in August 2017. The properties, totaling 101,635 square feet, were located at 3300 Claymore Park and 9362 and 9366 Wallisville Road. Both assets have access to Interstate 10, Highway 290, Sam Houston Tollway (Beltway 8) and Loop 610.