Blue Owl Lends $150M to Support IOS Expansion
By Andrew Coen October 27, 2025 3:31 pm
reprints
Alterra IOS, a pioneer in the industrial outdoor storage (IOS) sector, is gearing up for further expansion.
The Philadelphia-based company, which has acquired more than 400 IOS sites since 2017, closed a $150 million loan facility from Blue Owl Capital to support future acquisitions, Commercial Observer can first report.
Initial funding for the facility is backed by 21 IOS properties across 12 states with the loan also supporting acquisitions for Alterra IOS Venture III, a closed-end fund that has $925 million in equity commitments.
“As institutional recognition of the industrial outdoor storage sector accelerates, transactions like this highlight the confidence lenders have in the long-term performance of the asset class,” Scott Whittle, chief financial officer at Alterra IOS, said in a statement.
The $150 million loan facility is collateralized by 106 acres of IOS properties in key infill markets that include Atlanta, Charleston, Dallas-Fort Worth, Houston and Phoenix, according to Alterra.
The loan marked the first in the IOS sector for Blue Owl, according to Alterra. The private equity firm has been an active player in the data center sector, and in July supplied a $65.7 million loan as part of its credit platform for AGC Equity Partners to refinance a San Antonio data center property, CO previously reported.
“Our investment in Alterra reflects Blue Owl’s focus on working with market-leading operators in high-growth, resilient sectors,” Jesse Hom, chief investment officer for Blue Owl’s real assets platform, said in a statement. “We see strong, sustained demand for IOS assets and believe Alterra is well positioned to lead in this evolving space.”
The deal continues an active year for Alterra, which in July acquired 12 IOS properties fully leased to equipment rental company Herc Rentals, CO first reported at the time. The firm also closed a $343 million loan facility secured by 64 IOS properties from Truist Financial and Bank of Montreal in the summer, along with a $189 million loan from Blackstone Mortgage Trust in the first quarter.
Newmark negotiated the financing with a team led by Nick Scribani and Jordan Roeschlaub.
“Alterra IOS sought a creative financing solution for its continued growth through acquisitions, Scribani said in a statement. “We are proud to have helped establish this strategic relationship between a nimble institutional lender and the industry’s pre-eminent IOS owner-operator.”
Andrew Coen can be reached at acoen@commercialobserver.com.
