MADISON, N.J., Aug. 26, 2020 – On behalf of its U.S. core actual property technique, PGIM Actual Property has acquired a four.7 million-square-foot, 15-building industrial portfolio positioned throughout eight properties in Atlanta, Dallas, Denver, Fort Value, and Phoenix, for a complete worth of $425 million. PGIM Real Estate is the true property funding and financing enterprise of PGIM, the $1.four trillion world funding administration companies of Prudential Monetary, Inc. (NYSE: PRU).
The 15 property are newly constructed or nonetheless below development and have been designed with the pliability and performance wanted to fulfill the demand of recent industrial tenants. The properties are located in key U.S. distribution markets with entry to important infrastructure, together with main thoroughfares and gateway airports. Every property affords proximity to densely populated, excessive progress areas with above-average resident incomes.
‘The COVID-19 pandemic has not solely supported the continued rise of e-commerce and distribution demand throughout the U.S., nevertheless it has considerably accelerated the present development,’ stated Cathy Marcus, world chief working officer and head of U.S. fairness for PGIM Actual Property. ‘As many extra retailers and worldwide firms enter the U.S. industrial market or increase their presence within the sector, these state-of-the-art properties can be a gorgeous part of our broader industrial portfolio. They may profit from long-term market progress and have the performance wanted to help the subsequent technology of customers.’
With 32- to 36-foot clear heights and practical layouts with ample dock doorways, the properties are nicely positioned to accommodate the drastic rise of e-commerce and final mile distribution within the U.S., whereas providing house for superior distribution operations and autonomous equipment. Tenant demand on the buildings has been exceptionally sturdy all through the COVID-19 pandemic, with 4 of the delivered buildings now totally leased and two others partially leased.
‘This transaction enabled us to capitalize on a particularly uncommon alternative to accumulate a big high-quality industrial portfolio that might have in any other case taken years to construct or assemble,’ stated Frank Garcia, managing director and senior portfolio supervisor for PGIM Actual Property’s U.S. core technique. ‘This quarter, we have added 49 best-in-class industrial properties totaling 12.three million sq. ft to our core fund, positioned throughout extremely sought-after U.S. distribution markets. These strategic acquisitions have additional strengthened our asset allocation place and can lead to secure revenue on our buyers’ behalf.’
Steven Oliveira, govt director, and Kevin Interlicchio and Laura Nugent, affiliate vice presidents, of PGIM Actual Property’s Transactions staff led the portfolio acquisition on the agency’s behalf.
About PGIM Actual Property
As one of many largest actual property managers on the planet with $182.zero billion in gross property below administration and administration,1 PGIM Actual Property strives to ship distinctive outcomes for buyers and debtors by means of a variety of actual property fairness and debt options throughout the risk-return spectrum. PGIM Actual Property is a enterprise of PGIM, the $1.four trillion world asset administration enterprise of Prudential Monetary, Inc. (NYSE: PRU).
PGIM Actual Property’s rigorous danger administration, seamless execution, and in depth business insights are backed by a 50-year legacy of investing in business actual property, a 140-year historical past of actual property financing,2 and the deep native experience of execs in 32 cities globally. By way of its funding, financing, asset administration, and expertise administration method, PGIM Actual Property engages in practices that ignite optimistic environmental and social impression, whereas pursuing actions that strengthen communities world wide. For extra data go to pgimrealestate.com.
PGIM, the worldwide asset administration enterprise of Prudential Monetary, Inc. (NYSE: PRU), ranks among the many high 10 largest asset managers on the planetthree with greater than $1.four trillion in property below administration as of June 30, 2020. With places of work in 16 international locations, PGIM’s companies supply a variety of funding options for retail and institutional buyers world wide throughout a broad vary of asset lessons, together with public mounted revenue, personal mounted revenue, basic fairness, quantitative fairness, actual property and alternate options. For extra details about PGIM, go to pgim.com.
Prudential Monetary, Inc. (PFI) of the USA is just not affiliated in any method with Prudential plc, included in the UK or with Prudential Assurance Firm, a subsidiary of M&G plc, included in the UK. For extra data please go to news.prudential.com.
Be taught extra about PGIM Actual Property: pgimrealestate.com
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1 As of June 30, 2020, internet AUM is $120.four billion and AUA is $39.three billion
2 Contains legacy lending by means of PGIM’s guardian firm, PFI.
three Pensions & Investments High Cash Managers listing, June 1, 2020; primarily based on Prudential Monetary, Inc. (PFI) whole worldwide property below administration as of March 31, 2020.
For Skilled Traders solely. All investments contain danger, together with the potential lack of capital.
PGIM is the first asset administration enterprise of Prudential Monetary, Inc. (PFI). PGIM Actual Property is PGIM’s actual property funding advisory enterprise and operates by means of PGIM, Inc., a registered funding advisor. Registration as a registered funding adviser doesn’t indicate a sure degree or talent or coaching. Prudential, Pramerica, PGIM, their respective logos in addition to the Rock image are service marks of PFI and its associated entities, registered in lots of jurisdictions worldwide. Prudential Monetary, Inc. of the USA is just not affiliated in any method with Prudential plc, included in the UK or with Prudential Assurance Firm, a subsidiary of M&G plc, included in the UK.