NEW YORK—Blackstone has sold a 100-asset industrial portfolio valued at $3 billion to Nuveen Real Estate. The 29-million square foot portfolio is comprised of urban infill, light industrial and bulk logistics assets and is spread across 12 markets. The assets are concentrated in the Southern California, Northern New Jersey, Dallas, Chicago, Baltimore and Washington, DC markets.
The acquisition gives Nuveen’s 80 million square foot industrial portfolio a significant leg up in the marketplace, allowing it to “broaden our logistics holdings across strategic distribution hubs including coastal markets with high barriers to entry,” according to Graydon Bouchillon, managing director and head of US Industrial Sector at Nuveen Real Estate.
Bouchillon is bullish about the industrial real estate sector, noting in prepared remarks that Nuveen believes it will continue to outperform as supply remains constrained in certain markets and e-commerce tailwinds remain prevalent. He adds that the company will continue to look for opportunities in the asset class.
A powerhouse in the sector, Blackstone has been a steady buyer of industrial assets. Its most recent transactions include a definitive agreement to acquire Colony Industrial for $5.9 billion and its earlier acquisition of US logistics assets from three of GLP’s US funds for $18.7 billion.