J.P. Morgan Unit Closes $1.1B Net Lease Fund

J.P. Morgan Asset Management has closed its inaugural U.S. net lease fund with $1.1 billion in total capital commitments, more than double its initial target of $500 million.

J.P. Morgan Net Lease Real Estate Fund II attracted support from a group of global institutional and private wealth investors across the U.S., Asia-Pacific and the Middle East. The firm said commitments were anchored by pension, endowment and insurance institutions.

More than half are new investors to J.P. Morgan Asset Management Real Estate Americas. The Los Angeles County Employees Retirement Association was among the public pension funds investing in the J.P. Morgan U.S. net lease platform, committing $200 million to the fund, according to reporting by Institutional Real Estate Inc.

---

READ ALSO: August 2026 National Industrial Report

---

The close is a milestone in the continued growth of J.P. Morgan’s U.S. net lease platform. It’s the first fund raised by the firm following its 2023 acquisition of Trio Investment Group. The new fund also builds on the foundation established by Trio Net Lease Fund I.

Trio Investment Group was a real estate investment management boutique specializing in institutional sale-leaseback properties when J.P. Morgan Asset Management acquired the firm. Chad Tredway, who had worked at J.P. Morgan from 2008 to 2021, founded Trio. He returned to J.P. Morgan as head of real estate Americas at J.P. Morgan Asset Management and has since been promoted to global head of real estate at J.P. Morgan Asset Management.

Single-tenant industrial, IOS are targets

J.P. Morgan Net Lease Real Estate Fund II is focused on acquiring single-tenant properties with long-term, triple-net leases. It targets supply chain-critical industrial and industrial outdoor storage assets across the U.S. The fund is seeking to capitalize on tailwinds, including U.S. manufacturing growth and onshoring trends that are increasing demand for industrial space. It is also looking to fill the growing need for private credit that is driving sale-leaseback activity.

The fund has an active acquisition pipeline across property types and strategic logistics markets and is supported by J.P. Morgan’s corporate and banking relationships.

Tredway said in prepared remarks that net lease will continue to be a focus for J.P. Morgan Asset Management, noting the net lease segment is an area seeing continued growth and strong investor appetite with durable, long-term income.

In February, institutional investors advised by J.P. Morgan Asset Management teamed with Zenith Industrial Outdoor Storage to refinance a 14-property IOS portfolio with a $130 million senior secured credit facility provided by KeyBank. The portfolio totaled approximately 130 usable acres in markets across the U.S., including high-growth Southeast markets, where about 70 percent of the assets were located. The portfolio also includes properties in the Mountain, Midwest and West Coast regions.

The duo had previously formed a $700 million joint venture focused solely on IOS properties following a similar deal in February 2022.