Realterm completes sale of its Realterm Logistics Fund II

Realterm announced today that is has sold all 22 properties in its Realterm Logistics Fund II (RLF II) portfolio, liquidating the fund in its entirety. Together this portfolio of 22 transportation-advantaged high flow through (HFT^®) facilities consists of more than 1.8 million square feet of space and 778 doors on 200.4 acres.

“Transportation oriented properties with differentiated HFT characteristics facilitate the rapid and high-volume movement of goods through supply chains. These properties have gained importance with the growth of e-commerce, which demands increased speed and efficiency from manufacturers and retailers by consumers,” said Bob Fordi, CEO, Realterm. “This 22-property portfolio optimizes e-commerce supply chains, and is concentrated in many of the most dynamic primary logistics markets in the U.S.”

The national portfolio features properties in primary industrial markets across the country, including New York/New Jersey representing 52% of the portfolio by rent and Los Angeles representing more than 24% of the portfolio by rent. The portfolio is 100% leased to 29 national, regional, and local tenants within the transportation and logistics industries.

“Demand for HFT space has expanded significantly as logistics spending in the e-commerce sector has accelerated but speculative development has remained limited due to stringent zoning restrictions, limited and expensive land availability and competing uses,” said Ed Brickley, Managing Director and Senior Fund Manager, Realterm. “As a result, rents for HFT space have grown considerably over the last several years, often at an order of magnitude greater than the already robust rent growth seen for traditional industrial space.”

The portfolio includes:

HFT Property Type	Number of Properties	Square Feet
Truck Terminal/Transload	9 properties	513,082 SF
Final Mile Warehouse	8 properties	1,219,909 SF
Intermodal/Secure Parking	4 properties	5,032 SF
Fleet Operations	1 property	35,226 SF

CBRE was Realterm’s exclusive advisor on the transaction.