TPG AG U.S. Real Estate and Redfearn Capital have acquired a significant industrial portfolio totalling 5.4 million square feet for US$628 million. DRA Advisors acted as the seller. The transaction was largely financed by BDT & MSD Partners, who provided a loan of US$479 million.
The portfolio comprises 53 properties, which are approximately 87 percent occupied. It includes both logistics and production properties spread across several US states, including Florida, Georgia, North Carolina, Tennessee, Minnesota, Illinois and Oregon. A large portion of the portfolio consists of shallow-bay industrial properties in markets with high barriers to entry. TPG AG plans to further increase the value of these properties through targeted capital investments.
Focus on Key Markets and Partnerships
The majority of the portfolio's assets are located in important industrial markets in the Southeastern US, such as Tampa, Atlanta and Charlotte, North Carolina. In addition to Redfearn Capital, TPG AG acquired the portfolio with two other operating partners: Atlanta Property Group and Matterhorn Venture Partners. Each partner will co-manage the portfolio in their respective markets.
Chris Oka, Managing Director at TPG AG, commented on the acquisition: "This acquisition represents another significant milestone in our investment strategy and reaffirms our conviction in the long-term fundamentals of the US shallow-bay industrial sector. We are delighted to continue our long-standing partnerships with best-in-class operating partners such as Redfearn, Atlanta Property Group and Matterhorn Venture Partners to acquire and operate a portfolio of high-quality assets with high occupancy, diversified tenants, and compelling value creation opportunities through active asset management. We look forward to supporting the portfolio's continued growth."
Alex Redfearn, Founder, President and CEO of Redfearn Capital, added in a statement: "We have deliberately built an industrial platform focused on well-located infill properties in markets with long-term demand. This transaction significantly accelerates that strategy. It expands our presence throughout the Southeast, increases our operating scale, and positions us to continue to grow through disciplined acquisitions." The partnership between TPG and Redfearn Capital has existed since 2021. In February, they closed a US$150 million refinancing for a ten-property industrial portfolio and in October, they acquired two warehouses in Miami-Dade County for US$37 million. Prior to this, in May 2024, they had acquired an eight-building industrial portfolio in Jacksonville, Florida, for US$47.8 million. This latest acquisition increases Redfearn Capital's industrial property assets under management to over US$1.2 billion, spread across 8 million square feet.
