Blackstone Provides $851M Refi for 17-Asset U.S. Industrial Portfolio

CBRE Investment Management, the independently owned investment arm of global brokerage CBRE, has secured $850.5 million to refinance a 17-asset portfolio of Class A industrial facilities spread throughout the U.S., Commercial Observer can first report. 

Blackstone provided the loan, which will refinance existing debt while also generating a partial return of equity to investors, the company announced. 

The CBRE debt and structured finance team of Tom Rugg, Tom Traynor, Mark Finan and Arman Samouk arranged the transaction. 

The 17-asset portfolio spans 9.1 million square feet across nine U.S. logistics markets in Memphis, Atlanta, Dallas-Fort Worth, Columbus and Phoenix, as well as assets in Pennsylvania’s Lehigh Valley, New York, New Jersey, and the Inland Empire in California.

The portfolio is 98 percent leased. 

The deal is yet another big transaction for CBRE Investment Management, which holds more than $155 billion in assets under management. The investment arm also announced earlier in the year that its second real estate secondaries fund, Real Estate Partners 2 (REP2), which has a total capital commitment of $1.62 billion, exceeded its target by $370 million. 

CBRE and Blackstone did not respond to requests for comment. 

Brian Pascus can be reached at bpascus@commercialobserver.com.