Black Creek Industrial REIT IV Inc., a publicly registered non-traded real estate investment trust, has purchased interests in two portfolios with 83 industrial properties from affiliated non-traded REIT Industrial Property Trust. The purchase price for the interests was $301 million in cash, excluding due diligence expenses and other closing costs.
The transaction includes all of the ownership interests in IPT Real Estate Holdco LLC, which in turn owns a 20 percent interest in Build-To-Core Industrial Partnership I LP and an 8 percent interest in Build-To-Core Industrial Partnership II LP.
Build-To-Core Industrial Partnership I LP owns a real estate portfolio of 41 buildings totaling approximately 11.5 million square feet that are approximately 87.8 percent leased. In addition, there are three buildings under construction totaling 0.6 million square feet, two buildings in the pre-construction phase for an additional 0.4 million square feet, and one land parcel.
Build-To-Core Industrial Partnership II LP owns 23 buildings totaling 5.1 million square feet that are 59.5 percent leased. In addition, there are seven buildings under construction totaling 2.3 million square feet and six buildings in the pre-construction phase for an additional 2.1 million square feet.
Industrial Property Trust sold its entire real estate portfolio to affiliates of Prologis Inc. (NYSE: PLD) in early 2020 in a deal valued at approximately $4 billion. Following the sale, Industrial Property Trust’s remaining assets primarily consisted of its interests in the BTC portfolio.
Black Creek Industrial REIT IV’s initial public offering was declared effective by the SEC in July 2017. The company has raised more than $1 billion in investor equity in the private and public offerings, including DRIP proceeds, as of March 31, 2020. The company oversees a real estate portfolio of 55 industrial buildings purchased $1.2 billion, as of June 30, 2020.