Intending to acquire more than $1 billion in additional industrial outdoor storage (IOS) assets over the next 5 years, Triten Real Estate Partners and TPG Angelo Gordon significantly upsized an initial joint venture they formed in 2020 to build an IOS portfolio.

Since its inception, the joint venture has purchased an average of 18 properties each year, accumulating more than $500 million of IOS assets across 16 markets. The new commitment demonstrates the pair's long-term view of IOS as an asset class, said Matt Lazar, managing director for TPG Angelo Gordon, a diversified credit and real estate investing platform within global alternative asset management firm TPG.

The IOS market historically has been fragmented, which signaled an opportunity to transform the asset class into a compelling portfolio with limited capital expenditure requirements and an attractive yield, said Scott Arnoldy, founding partner at Triten, which manages more than 3 million square feet of property through acquisitions and development.