EQT Real Estate Acquires Logistics Portfolio in Southern California
EQT Real Estate has acquired a logistics portfolio spanning 32 buildings and totaling 5.2 million square feet across five submarkets in Southern California from Rexford Industrial Realty, Inc. The acquisition includes infill locations near the Los Angeles/Long Beach port complex as well as assets along major freight corridors in Inland Empire West. With over 96% of space leased to a diverse set of tenants and an average lease term of 2.7 years, the portfolio supports EQT's strategy focused on supply-constrained logistics markets with strong demand driven by e-commerce and port activity. Southern California’s industrial real estate market is characterized by tight vacancy rates in coastal infill areas and high occupancy levels in Inland Empire locations due to limited new construction and sustained tenant demand. The acquisition aligns EQT Real Estate's portfolio with the region's core distribution corridors, enhancing its exposure to durable port-driven activity while diversifying across industries such as automotive, logistics, consumer goods, aerospace, and electronics. Matthew Brodnik of EQT highlighted that this move strengthens their position in a market where constrained supply supports strong operating performance. Gardner Ellner noted the portfolio's immediate income generation potential and opportunities for tenant relationship growth upon lease renewals.
Topics: acquisition logistics real estate Southern California markets