BEB Capital and Rockpoint Group have formed a joint venture. The JV will target up to $1 billion in industrial assets in the Northeastern U.S., with a focus on Long Island, New York.
PORT WASHINGTON, N.Y.–(BUSINESS WIRE)–BEB Capital (“BEB”), a leading investor and developer of industrial, office and multifamily assets throughout the East Coast, is proud to announce a programmatic joint venture (the “JV”) with Rockpoint Group (“Rockpoint”), a real estate private equity firm. The JV will target an investment pipeline of up to $1 billion of industrial assets in the Northeastern United States, with a primary focus in Long Island, NY. The partnership has assembled nearly 660,000 square feet of industrial assets to date, including the recent Long Island, NY acquisitions of 44 Ramsey Road in Shirley and 100 Marcus Boulevard in Hauppauge.
BEB’s decades of hands-on real estate management and investment experience has enabled the firm to forge strong relationships with longtime industrial users and tenants in the Northeastern United States. Leveraging BEB’s experience with Rockpoint’s fundamental value approach to investing, the joint venture is systematically aggregating a diverse industrial portfolio in close proximity to strategic corridors and infrastructure assets. The portfolio thus far consists of nearly 100% leased industrial assets with a diversified tenant roster of credit and regional logistics, distribution and warehousing, and e-commerce tenants.
“The U.S. industrial and last-mile logistics sector continues to be red-hot, and with the growth of e-commerce accelerating during the pandemic, we expect there to be continued strong demand in this asset class,” said Lee J. Brodsky, Chief Executive Officer of BEB Capital. “Together with Rockpoint, an institutional partner that aligns with our entrepreneurial values and market outlook, we’re poised to continue to grow a value-add portfolio that will capitalize on the economic tailwinds driving the real estate industry and broader economy forward.”
E-commerce companies require, on average, approximately 1.25 million square feet per $1 billion of online sales, three times that of traditional retailers. The domestic e-commerce market alone will require upwards of an additional 250 million square feet of industrial space in the next five years just to keep pace with the growing demand, an exponential increase in utilization.
About BEB Capital
BEB Capital is a real estate development and investment firm with a portfolio of industrial, office and multifamily properties across the Northeastern United States. In addition, the firm has interests in a diverse set of businesses, some of which it owns and operates, and others in which it serves as a limited partner. In 2019, the company launched BEB Lending, a platform that provides private, quick and creative financing solutions for commercial real estate assets in primary and secondary assets across the East Coast of the United States. The firm’s institutional-grade operation and entrepreneurial spirit has allowed the firm to create value by completing several million square feet of value-add industrial acquisitions, multifamily conversions and redevelopments.
About Rockpoint Group, L.L.C.
Rockpoint is a real estate private equity firm headquartered in Boston with additional domestic offices in San Francisco and Dallas. Rockpoint employs a fundamental value approach to investing and targets select product types located in major markets in the United States. Rockpoint utilizes a consistent strategy across distinct return profiles through its opportunistic and growth and income investment programs. Rockpoint targets assets with intrinsic long-term value, at attractive prices relative to replacement cost and stabilized cash flows, and with particular emphasis on value creation opportunities and complex situations. Since 1994, Rockpoint’s co-founders with others have sponsored 16 commingled funds and related co-investment vehicles through Rockpoint and a predecessor firm and have raised approximately $26 billion in capital commitments. As of June 30, 2021, Rockpoint’s investment team with others has invested or committed to invest in 447 transactions with a total peak capitalization of approximately $67 billion (inclusive of fund equity, co-investor equity and debt). To learn more about Rockpoint Group, visit www.rockpoint.com. To learn more about Rockpoint Group, visit www.rockpoint.com.