Goldman Sachs Expands Warehouse Portfolio with $300 Million Purchase from Blackstone
Deal News | Jan 30, 2025 | Dalfen Industrial LLC
Goldman Sachs Group Inc.'s alternative investment arm has substantially expanded its warehouse holdings by purchasing a $293 million portfolio of logistics facilities from Blackstone Inc. This acquisition was made in partnership with Dalfen Industrial LLC, a real estate firm based in Dallas, doubling down on the burgeoning demand for strategically located logistics spaces involved in e-commerce. The acquisition includes 21 buildings located in key US regions such as Las Vegas, Dallas, Cincinnati, and parts of Pennsylvania. These facilities are close to urban centers, crucial for the burgeoning e-commerce industry, and feature around 2.1 million square feet, 92% of which is leased to tenants including Amazon and Red Bull. Despite the real estate challenges posed by rising interest rates, logistics facilities continue to be resilient, exhibiting strong rent growth and low vacancy rates. This transaction provides Blackstone with an opportune exit after fulfilling its investment goals, thereby delivering positive returns for its investors.
Sectors
- Real Estate
- Logistics and Distribution
- Private Equity
- E-commerce
Geography
- United States – The properties acquired are located in various regions of the United States, making this the principal geography of interest.
Industry
- Real Estate – This article involves the acquisition of logistics buildings, which falls under the real estate industry.
- Logistics and Distribution – The targeted properties are logistics facilities, pivotal to the e-commerce supply chain, situating the article within the logistics and distribution sector.
- Private Equity – The involvement of Goldman Sachs, a leading private equity firm, in acquiring significant real estate assets is central to the article.
- E-commerce – Demand for logistics facilities is driven by the e-commerce sector's growth, highlighting the relevance of this industry.
Financials
- $293 million – The purchase price for the portfolio of logistics buildings acquired by Goldman Sachs and Dalfen Industrial.
- 2.1 million square feet – The total area of logistics facilities acquired in the deal.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Goldman Sachs Group Inc. | Buyer | Company | A global investment banking and management firm, acting through its alternative investment arm for this acquisition. |
| Dalfen Industrial LLC | Partner and Real Estate Firm | Company | A Dallas-based real estate firm partnering with Goldman Sachs for this logistics acquisition. |
| Blackstone Inc. | Vendor | Company | An investment management firm selling the portfolio of logistics buildings. |
| Amazon | Tenant | Company | A major tenant of the logistics facilities being acquired. |
| Red Bull | Tenant | Company | A global brand and tenant in the acquired logistics properties. |
| Cushman & Wakefield | Commercial Real Estate Services | Company | Provided market insights and reports relevant to the resilience of logistics facilities. |