CIP Real Estate JV Secures $820M for 6 MSF Portfolio

A joint venture between affiliates of CIP Real Estate and Almanac Realty Investors has received an $820 million floating-rate, single-asset, single-borrower CMBS loan for a 6.1 million-square-foot portfolio of 42 shallow-bay industrial properties across six major markets in five states.

JLL Capital Markets arranged the funding. The SASB loan was led by Wells Fargo, with participation from J.P. Morgan and Goldman Sachs.

The portfolio is 91 percent leased to more than 950 unique tenants and spans the Atlanta, Dallas–Fort Worth, Charlotte, N.C., Tampa, Fla., metro areas, as well as California’s East Bay and Inland Empire regions.

The JLL Debt Advisory team was led by Capital Markets President Kevin MacKenzie, Senior Director Peter Thompson, Director Christopher Pratt, Associates Kyle White and Anthony Scaglione, as well as Analyst Nick Englhard, with additional support from investment sales teams in local markets.

---

READ ALSO: Small-Scale Industrial’s Broad Appeal

---

The properties feature typical clear heights of 19 feet and an average office finish of approximately 33 percent. They range in size from 16,176 to 944,655 square feet, averaging around 146,000 square feet. (Of interest, the largest property consists of 13 separate buildings.)

The properties’ locations reportedly offer proximity to major transportation infrastructure and population centers, supporting a wide range of logistics, e-commerce and distribution users, including last-mile operators, as well as small to medium-sized businesses.

A JLL spokesperson provided Commercial Property Executive with a general breakdown of the portfolio:

•  Atlanta: eight properties, 2.0 million square feet

•  Dallas–Fort Worth: 20 properties, 1.4 million square feet

•  Charlotte, N.C.: 7 properties, 1.2 million square feet

•  Tampa: 3 properties, 587,058 square feet

•  East Bay, Calif.: 2 properties, 492,599 square feet

•  Inland Empire, Calif.: 2 properties, 471,038 square feet

Small bay’s time to shine?

Vacancy in the industrial sector has generally been rising, as speculative development collides with softening demand for retail-based warehousing, according to a second-quarter report from Plante Moran, and consistent with broader industrial real estate trends.

The report continues, however: “Demand for small-bay industrial facilities continues to outstrip supply, with minimal new construction in this segment. Ongoing shifts in trade policy and tariff structures could further highlight the scarcity of these high-demand spaces.”