Industrial Property Trust Inc., a publicly registered non-traded real estate investment trust sponsored by Black Creek Group LLC, is reportedly exploring strategic options, including a recapitalization or sale that could top $3.5 billion including debt, according to a recent Bloomberg report, citing an unnamed source close to the matter.
“[Black Creek Group], which is working with advisers, has begun sounding out suitors for IPT, including real estate private equity firms, sovereign wealth and pension funds,” Bloomberg said.
Last year, Reuters reported that Industrial Property Trust engaged an investment bank to gauge the interest of potential buyers, including private equity firms, public pension plans, and other large real estate investors.
Bloomberg reported that last year’s effort was “ultimately canceled, in part due to other sizable transactions involving warehouse owners,” including Blackstone Group’s October 2018 purchase of Gramercy Property Trust, an industrial real estate investment trust, for $7.6 billion.
Industrial Property Trust is managed by Denver-based Black Creek Group, formerly Dividend Capital, focuses on distribution warehouses and other industrial properties that are leased to creditworthy corporate customers.
The company raised approximately $1.8 billion in investor equity since its first offering was declared effective in July 2013. The offering closed during the second quarter 2017, and the company’s $3.1 billion portfolio consists of 286 industrial properties totaling nearly 49.2 million square feet, according to Summit Investment Research.