Industrial Outdoor Ventures (IOV), the first national real estate investor focused exclusively on outdoor storage facilities, and its equity sponsor BLG Capital Advisors (BLG), recently announced a recapitalization and go-forward joint venture with San Francisco-based Stockbridge. Financial terms of the deal were not disclosed.
IOV sold a significant interest in its 26 building, 93% leased national Industrial Service Facilities portfolio to Stockbridge. The properties are located in major markets throughout the U.S. including Atlanta, Chicago, Dallas, Denver, Phoenix and Southern California, among others.
Moving forward, Stockbridge, BLG and IOV have committed to continue growing the portfolio, with plans to make $100 to $200 million in property acquisitions per year. The JV will target value-add assets requiring significant property improvements and lease-up, ground-up development, build-to-suits, and the acquisition of stabilized assets.
As part of the newly launched joint venture, IOV has also entered into a property management, development and project management agreement to continue managing the portfolio and future investments.
CIBC Bank as lead, along with a group of co-lenders, provided a new $145 million credit facility to the venture for the seed portfolio and future acquisitions.
