It’s the first acquisition in a joint venture between the two firms.
Staley Point Capital is a value-add investor focusing on industrial assets in Southern California. Bain Capital works across multiple sectors.
“The acquisition of Freeway Drive is representative of our focus on infill industrial assets in supply-constrained L.A. submarkets,” Staley Point Capital Managing Director Eric Staley said in a statement.
Staley Point Capital and Bain Capital Real Estate plan to make improvements to the property.
The two companies expect to invest in other industrial properties in Southern California.
“We are excited to team up with Bain Capital Real Estate,” Kevin Staley, managing partner at Staley Point Capital, said in a statement. “Together, our platform is well positioned to capitalize on further opportunities in the largest industrial market in the world.”
Andrew Terris, managing director at Bain Capital Real Estate, added that the partnership would allow Bain Capital Real Estate to “apply our thematic approach to invest in a hard-to-access sector with compelling underlying secular demand trends.”
“Our partnership with Staley Point Capital is an expansion of our high-conviction industrial thesis that we have executed on for the past eight years in select targeted markets throughout the U.S.,” he added
Greenberg Traurig was the legal consultant to Staley Point Capital for the joint venture and the transaction.
Ropes & Gray advised Bain Capital Real Estate.
Newmark Knight Frank represented the buyer in the acquisition. It will also handle leasing for the property.
Jones Lang LaSalle Inc. arranged a loan from CrossHarbor Capital Partners.
Industrial has been one of the real estate sectors that has fared well despite the Covid-19 pandemic.
“While many sectors of commercial real estate … are still taking stock, the industrial and logistics sector has hardly broken step,” Spencer Levy, CBRE Group Inc.’s senior economic adviser and chairman of Americas Research, said in a statement.
Staley Point, Bain Team for Purchase