[FINANCIAL] Industrial Real Estate ·
Logistics Portfolio · PE Exit
— CLOSED March 27, 2026
Ares Management Closes $650M Acquisition of
36-Property EQT Logistics Portfolio Across 12 U.S. Markets
The Los Angeles-based alternative asset manager's second major
industrial real estate purchase from EQT in four months: 7.3 million square
feet of modern logistics space across Sun Belt and Midwest markets, leased to
Nike, FedEx, and Walmart — financed through a $500M CMBS facility co-originated
by Wells Fargo, Barclays, and Bank of America.
DEAL SNAPSHOT
|
DEAL VALUE >$650 Million |
MARKETS 12 distribution markets
across 13 states |
|
CLOSED March 27, 2026 |
OCCUPANCY AT CLOSE >95% leased |
|
PROPERTIES 36 logistics assets
(7.3M sq ft) |
DEBT FINANCING $500M floating-rate CMBS
(Wells Fargo, Barclays, BofA) |
THE PARTIES
|
ACQUIRER / LEAD INVESTOR Ares Real Estate (Ares
Management Corporation, NYSE: ARES) Los
Angeles-based global alternative asset manager with $550B+ AUM across credit,
private equity, real assets, and secondaries. CEO Michael Arougheti. The Ares
Real Estate platform manages approximately $50B and has been aggressively
scaling its U.S. logistics real estate footprint since acquiring Black Creek
Group in 2021. Marq Logistics (Ares affiliate) will manage the portfolio.
This is Ares's second portfolio acquisition from EQT in four months. |
SELLER EQT Real Estate Industrial
Core-Plus Fund II The real
estate fund arm of EQT AB (Stockholm), one of Europe's largest PE firms. EQT
Real Estate has been systematically exiting its U.S. logistics portfolio
after years of enhancing occupancy, extending leases, and repositioning
assets. The first tranche (33 properties, 4.2M sq ft) sold in November 2025 —
with Ares purchasing 23 of those properties. This second tranche of 36
properties (7.3M sq ft) completes the Core-Plus Fund II disposition program. |
DEAL OVERVIEW
Ares Real Estate
acquired 36 institutional-grade logistics properties from EQT Real Estate
Industrial Core-Plus Fund II for more than $650 million — closing on March 27,
2026. The portfolio encompasses approximately 7.3 million square feet of modern
distribution space across 12 markets in 13 U.S. states. Key markets by rentable
area: Chicago, Cincinnati, and Atlanta, with additional assets in Phoenix,
Dallas, North Carolina, South Carolina, Southern California, Columbus, and
Memphis.
To finance the
acquisition, Ares secured a $500 million floating-rate loan co-originated by
Wells Fargo Bank, Barclays Capital Real Estate, and Bank of America. The loan
is structured as a CMBS (Commercial Mortgage-Backed Securities) deal. Ares is
contributing approximately $168 million in equity from its real estate funds.
The blended LTV is approximately 77%, which is elevated but reflective of the
portfolio's high occupancy (95.6% leased as of early February 2026) and
investment-grade tenant base.
"This portfolio demonstrates the enduring appeal of
institutionally-leased, last-mile and mid-bay logistics assets across core U.S.
distribution corridors. The Sun Belt and Midwest combination offers strong
population growth tailwinds alongside proven logistics infrastructure."
— Ares Real
Estate
PORTFOLIO CHARACTERISTICS
The assets are a
mix of small and midsize distribution facilities, bulk warehouses, and
shallow-bay properties, with modern logistics specifications: 31-foot clear
heights, cross-deck and rear-load configuration, truck courts, and parking
accommodations. Tenants include Nike, FedEx, and Walmart across e-commerce,
food and beverage, distribution, and light manufacturing sectors. Average gross
rents of $5.78 per square foot across the portfolio, per Fitch Ratings data
used in the CMBS underwriting.
For EQT, the
disposition marks the completion of a multi-year value creation and exit cycle
for its Core-Plus Fund II: the fund acquired these assets, enhanced occupancy
and rents through active asset management, and is now returning capital to LPs
at what appears to be a strong exit multiple relative to cost basis.
ADVISORS
Debt
Financing (Ares): Wells Fargo Bank +
Barclays Capital Real Estate + Bank of America (co-originators of $500M CMBS)
No buy-side or
sell-side M&A financial advisors were disclosed for either party.