Strategy
Our investment strategy centers around the concept of strategic locations, strong returns and institutional interest
INVESTMENT STRATEGY
Industrial outdoor storage (IOS) properties near ports have seen faster rent growth than traditional industrial properties. IOS has seen a 30% increase in rent since 2019, which is faster than traditional industrial properties. In the last three years, IOS properties in supply constrained markets near ports have the greatest potential for outperforming traditional industrial investments.
STRATEGIC LOCATIONS
IOS sites located near key supply chain infrastructure such as ports, rail intermodal yards, highways and airports which are highly sought after due to their proximity to key logistics hubs.
STRONG RETURNS
IOS properties offer attractive returns on investment, with stabilized cap rates at 100-150 basis points higher than traditional industrial warehouse properties with similar tenant credit. Further, given the minimal improvements required for IOS, capital expenditures are kept to a minimum.
INSTITUTIONAL INTEREST
Institutional investors are increasingly recognizing the potential of IOS, with significant new capital being allocated to the asset class.
We focus on in-fill markets near strategic West Coast ports
LOCATION-BASED PROPERTY SELECTION
The growing e-commerce sector and the need for efficient logistics solutions have led to a surge in demand for IOS facilities across the country, particularly in strategic infill markets near ports and intermodal facilities. However, the supply of suitable sites is limited due to zoning regulations and local opposition.
SEATTLE
PORTLAND
SAN FRANCISCO BAY AREA
LOS ANGELES AND LONG BEACH
WITHIN OUR HIGH LEVEL STRATEGY THERE ARE DIFFERENT WAYS TO INVEST
Investment Strategy Risk Profile
CORE
Existing IOS facility with long-term credit tenants
CORE PLUS
Brownfield with some capex growth potential
VALUE ADD
Surplus corporate assets with renovation and capex.
OPPORTUNISTIC
BTS or spec development
WHAT SETS US APART
Key Differentiators
Highly
Specialized
Focused intensely on the West Coast infill markets nears ports and logistical hubs
Institutional
Experience
Co-Founders have a combined 50+ years of institutional real estate experience
Track
Record
One of the Nation’s longest track records investing in IOS dating back to the early 1980’s
Sourcing
Advantage
Leveraging over four decades of expertise in West Coast IOS markets, we possess a robust sourcing strategy that consistently yields significant off-market opportunities.
4 acres or larger
Infill locations strategically located near West Coast ports and logistical hubs
Single assets or portfolios
Short term WALT
Near term repositioning, physical improvements, or vacant properties