Bain Capital and Oliver Street Capital Acquire 11-Property Infill Industrial Portfolio in Northern New Jersey

BOSTON--(BUSINESS WIRE)--Bain Capital and Oliver Street Capital (“OSC”) announced the acquisition of an industrial portfolio primarily located in the Northern New Jersey market for $208 million. The private, off-market transaction was completed via a joint venture between Bain Capital’s Real Estate team and OSC that focuses on acquiring high-quality, infill industrial properties in select, supply-constrained markets.

The value-add portfolio consists of 11 Class B warehouses spread across top infill submarkets in Northern New Jersey and represents a combined 784,000 square feet. The light industrial properties feature desirable warehouse suite sizes averaging 23,000 square feet. The portfolio is currently 88% leased to a mix of local and national tenants.

“This is a compelling opportunity to meaningfully scale and diversify our infill industrial portfolio in the Northern New Jersey market, one of the country’s most supply-constrained and strategically important warehouse markets serving the unmatched consumption base of the New York City MSA,” said Ryan Cotton, Head of Bain Capital’s Real Estate team. “This portfolio is tailor-made for our thematic infill strategy, with the majority of properties concentrated in our highest conviction submarkets. As demand continues to shift toward smaller-format facilities, we continue to see significant opportunities to partner with OSC to invest in these infill industrial assets in high demand by a diverse tenant base.”

This portfolio transaction represents Bain Capital and OSC’s fifth acquisition in Northern New Jersey since the firms expanded their joint venture to the region in late 2023, and positions the joint venture as one of the leading infill industrial buyers of scale in the New York City MSA.

“This transaction marks a watershed moment in our platform’s expansion into the Northern New Jersey Market, raising our presence to 15 assets within two years,” said Jon Hyde, Managing Principal of OSC. “We continue to have high conviction in the Northern New Jersey industrial market.”

“We’re building a truly unique multi-market portfolio of functional and irreplicable warehouses in highly infill locations, which is a testament to our relationships and the great local networks that help us source, lease, and manage the assets,” added Jon O’Donnell, Managing Principal of OSC.

Since launching their joint venture in 2019, Bain Capital and OSC have acquired 62 assets totaling over 6 million square feet in more than 45 separate transactions. With over $1.5 billion of capital deployed to date, the partnership remains focused on expanding its best-in-class portfolio in the New York/New Jersey region, Boston, and Washington, D.C.

About Bain Capital Real Estate

Bain Capital Real Estate was formed in 2018 and pursues investments in often hard-to-access sectors underpinned by enduring secular trends that drive long-term demand growth for real estate assets and services. The Bain Capital Real Estate team has been executing its strategy since 2010 (formerly as a part of Harvard Management Company), having invested and committed over $9 billion of equity across multiple sectors. Bain Capital Real Estate focuses on assets where the team applies its deep industry expertise to accelerate impact and drive operational improvements. Bain Capital Real Estate's strategy aligns with the value-added investment approach that Bain Capital pioneered and leverages the firm's global platform and significant experience across asset classes to further bolster its insights and sourcing capabilities. Bain Capital is one of the world's leading private investment firms with approximately $185 billion of assets under management. For more information, visit https://www.baincapitalrealestate.com.

About Oliver Street Capital

Founded in 2014, Oliver Street Capital is a Boston-based real estate investment manager focused on acquiring, financing, and managing high-quality industrial real estate assets in supply-constrained markets. Its principals have more than four decades of combined experience. The Oliver Street team currently owns and operates infill industrial properties in Boston, New Jersey, Northern Virginia, and Maryland. To find out more, visit www.oliverst.com