Gramercy Property Trust and TPG Real Estate have partnered to invest in the US office sector.
The Strategic Office Partners platform will build a portfolio of single-tenant office assets in high-growth US metropolitan areas.
TPG and Gramercy committed $400m (€356m) and secured a $200m non-recourse credit facility from Morgan Stanley.
Strategic Office Partners will seek to acquire up to $1bn in assets over a three-year period.
Avi Banyasz, a partner at TPG and co-head of TPG Real Estate, said: “We see a compelling investment opportunity in the office net lease sector and believe this portfolio of high-quality assets in strong growth markets is poised to benefit from positive fundamental trends.”
Ben Harris, president at Gramercy Property Trust, said the company would look to enhance the value of the platform over time.
The platform has been seeded with six office assets valued at $187.5m, with a weighted average remaining lease term of 3.6 years.
The 1m sq ft portfolio, in the Los Angeles MSA, San Francisco Bay Area, the San Diego MSA and Nashville and Minneapolis areas, has an average tenant tenure of more than 11 years.