August 23, 2022
Ares Pays $139M for NJ Industrial Complex
At a time when industrial space is as hard to come by as it has been in ages, a big player in the space made...

Ares Pays $139M for NJ Industrial Complex

August 18, 2022 | Nisha Shetty & Christian Bautista

At a time when industrial space is as hard to come by as it has been in ages, a big player in the space made a major acquisition in New Jersey.

Where exactly, it would not disclose, but an online listing indicates it is in Wayne.

Ares Industrial Real Estate Income Trust, a subsidiary of Los Angeles–based Ares Management, paid $138.5 million for a 557,000-square-foot industrial complex it calls I-80 Logistics Park, according to SEC filings. The address is 20-30 & 25 Continental Drive.

The acquisition was completed on June 29 by the publicly registered, non-traded Maryland-based trust, which invests in real estate assets largely consisting of distribution warehouses and other industrial buildings leased to corporate clients. It was formerly known as Black Creek Industrial REIT IV.

Neither the exact location of I-80 Logistics Park nor the seller’s identity was included in the public filing, although Secaucus-based Hartz Mountain lists it on its website.

Ares Industrial REIT owns and manages an industrial portfolio across 29 U.S. markets. In the first six months of 2022, it acquired 47 buildings for $1.7 billion.

Its operating portfolio features nearly 250 buildings totaling more than 50 million square feet with an occupancy rate of 98 percent.

Amazon.com Services LLC was listed as its biggest client in public documents, although a source familiar with the industrial landlord said it no longer is. Amazon recently ended its warehouse leasing binge, saying it overspent by billions of dollars.

In New Jersey, Ares Industrial REIT’s portfolio has 16 buildings with an occupancy rate of 98 percent, according to SEC filings. (Its website lists 10 New Jersey properties.) A little over 10 percent of its operating properties’ rent comes from the state, just behind what it gets from its No. 1 market, Southern California.

Heron Industrial Center was the last industrial property bought in New Jersey, in July 2021.

Industrial vacancy fell to a 27-year low earlier this year, according to a Savills report. The tightest major markets were Southern California and Northern New Jersey.

Recent

Most Popular

Blue Vault Q2 2023 Performance Reports Update

Blue Vault Q2 2023 Performance Reports Update

Blue Vault Q2 2023 Performance Reports Update 10-3-2023 Blue Vault wishes to acknowledge and apologize for the delay in publishing some Q2 2023 NTR Individual Performance Pages (IPPs) as well as the full review. We recently added additional reporting metrics to our IPPs, and that, combined with coverage of all share classes and some additional…
Blue Vault Q2 2023 Performance Reports Update

Blue Vault Q2 2023 Performance Reports Update

Blue Vault Q2 2023 Performance Reports Update 9-25-2023 Blue Vault has published the Q2 2023 Nontraded BDC Industry Review as well as Individual Performance Report and Limited Operations pages for the following offerings (newly published pages in bold font): Nontraded REITS American Healthcare REIT Q2 2023 Apollo Realty Income Solutions Q2 2023 (limited operations) Ares…

Explore

Blue Vault Logo
Don’t miss alts news
and educational events

Subscribe Now