Business & Investment

Duke Realty, CBRE Global Investors Form Logistics JV

2865 Duke Parkway, Aurora, Illinois. Image courtesy of Dew Cleary Corporation.

The new joint venture between Duke Rarti Corporation and CBRE Global Investors was closed for the first $ 157 million of three tranches of logistics assets totaling 1.3 million square feet.

Duke Rarty will donate a total of 4.8 million square feet of seven facilities and a total of 25 acres of two trailer storage lots to the joint venture. The joint venture will be 80% owned by CBRE Global Investors and 20% owned by Duke.

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The joint venture plans to provide secured debt loans to the assets, which will be approximately 50-60 percent of the loan-to-value.

The first Tranche property is located in the Atlanta and Chicago logistics markets at 4200 N. Commerce Drive in East Point, Georgia. 6115 and 6125 Mimms Court (Site S), East Point; 2865 Duke Parkway, Aurora, Illinois. They consist of two facilities totaling 1.3 million square feet and one trailer lot totaling 17.2 acres.

4200 N. Commerce Drive, East Point, Georgia.
4200 N. Commerce Drive, East Point, GA. Image courtesy of Duke Realty Corp.

Duke Rarty refused to disclose the addresses of the remaining properties until these transactions were completed, but both companies did disclose their general location. The second tranche, consisting of two facilities in Baltimore and one trailer lot, will be closed in the second half of the third quarter. The third tranche, consisting of three facilities in Pennsylvania, Seattle and South Florida, will be closed in early 2022.

According to a prepared statement by Jim Connor, Chairman and Chief Executive Officer of Duke Alti, the largest logistics REIT official in the country only has recently announced its financial results of the company’s largest customer to manage its portfolio. Hazard said he plans to monetize some of the assets leased to one. Connor also said Duke Ralty had successfully dealt with CBRE Global Investors, one of the world’s leading real estate investment managers, in the past.

Morgan Stanley & Co. LLC served as exclusive financial advisor and Hogan Lovells US LLP acted as legal adviser to Duke Realty.

Recent logistics transactions

Gary Jay, head of the Americas Logistics Operators division at CBRE Global Investors, said in a prepared statement that the company has in-depth knowledge and scale of the logistics sector and that the joint venture with Duke Rarty is a future. We believe that we will continue to create opportunities. He has a strategic ambition to overweight the sector to leverage market opportunities to provide real estate solutions that drive outperformance by teaming with best-in-class partners like Duke Rarty. Said to support.

Some recent transactions have been made in the logistics department. Earlier this month, CBRE Global Investors acquired 393,673 square feet of Irvine Crossing. Multipurpose facility in Irvine, California.. $ 180.8 million through one of the sponsored funds from an affiliate of Menlo Equities. Fund sponsored by CBRE Global Investors in December Acquired Memphis Global CrossingA newly constructed Class A logistics facility in Memphis, Tennessee, which will remain the main tenant of the DHL supply chain. The 421,470 sq ft asset has changed hands for a private amount.

Duke Realty, CBRE Global Investors Form Logistics JV Duke Realty, CBRE Global Investors Form Logistics JV

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