Affinius Capital Originates $91M Loan for Industrial Campus in Houston
The acquisition financing will help a joint venture grab a 1M-SFt industrial park
By Brian Pascus July 24, 2023 12:52 pm
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A joint venture led by Dalfen Industrial has acquired a four-building, 1 million-square-foot industrial park in Houston thanks to a $90.6 million acquisition loan.
Affinius Capital — formerly USAA Real Estate and Square Mile Capital Management — originated the financing but did not disclose the terms of the loan.
Affinius Capital Managing Director Tom Burns said that the deal gave his firm “a compelling opportunity” to provide Dalfen Industrial with financing to acquire a top-flight industrial asset in northwest Houston.
“As the Port of Houston continues to expand, the demand for high-quality industrial buildings only grows, allowing the sponsor to successfully execute its business plan,” said Burns in a statement. “Tenants are attracted to the project due to its accessibility to the Houston metro region and the strengthening demographics of its rooftop growth.”
The property, whose exact address was not released by the sponsor, is on Fairbanks North Houston Road with access to Highway 290 and Beltway 8. Each of the four industrial buildings contain 32-foot clear heights and 180- to 185-foot-long truck cohorts.
It will add to Dallas-based real estate investment trust Dalfen’s massive portfolio of last-mile logistics facilities, which include distribution and industrial centers in 22 states and two Canadian provinces.
Last-mile delivery of e-commerce has grown in recent years. Compared to the larger Amazon (AMZN) fulfillment center-type distribution hubs that serve wider metropolitan regions, the last-mile delivery industry specializes in regional deliveries for specific products. For instance, many local car dealerships do not hold the cars that are purchased on location but ship them to buyers from last-mile industrial delivery locations nearby.
Dalfen Industrial was founded in 1935 as a Dalfen’s Limited family apparel retail chain. The firm transitioned in 1970 into a Canadian commercial real estate firm and Dalfen America Corporation in 1990 to focus on expanding its U.S. CRE investments, according to the firm’s website. The firm exclusively entered the industrial space in 2007 and has since launched five investment funds to acquire properties across the country.
Affinius Capital and Dalfen Industrial did not respond to requests to comment.
Brian Pascus can be reached at bpascus@commericalobserver.com
