Logistics Property Co. Closes Logistics Fund With $1.8B in Commitments

Its next scheduled project is soon to break ground in Mesa, Ariz.

Logistics Property Company will continue its quest to buy and develop well-located industrial property in U.S. markets.

Last week, it closed on its second develop-to-core fund, LPC Logistics Venture Two, with total equity commitments of $1.8 billion from several global institutional investors and co-investment by LPC.

Like with its Venture One, LPC’s second fund “speaks to the opportunistic industrial real estate market and the strong develop-to-core strategy offering investors the ability to own Class A industrial facilities in tier one locations at an attractive basis,” LPC’s CEO Jim Martell said in prepared remarks.

To date, 35 percent of the fund has been allocated to investments in Atlanta, Chicago, Dallas, Denver, Inland Empire, Pennsylvania, Phoenix, and Southern New Jersey, with significant capital to deploy for new development projects that deliver value to investors.

In 2022, LPC announced the commencement on five new developments for Venture II totaling 2.3 million square feet. The respective developments include Covington Commerce Center in Georgia, First State Logistics Center in Delaware, 975 Algonquin, 2800 W. Diehl Road, and 4275 Ferry Road, all in Illinois.

It is scheduled to break ground before 2023 on Palm Gateway Logistics Center in Mesa, Ariz., which includes four buildings totaling 613,000 square feet.

MAM Real Estate, part of Macquarie Group and LPC’s majority shareholder, acted as the fund’s exclusive financial advisor and placement agent and partnered with the LPC management team in forming the platform.