The global real estate equity investment arm of insurer AIG has acquired over a billion dollars worth of US industrial real estate assets from Partners Group.

Partners Group said it has sold the portfolio, worth more than $1bn (€839.5m), on behalf of its clients, without disclosing the buyer’s details.

IPE Real Assets understands that AIG Global Real Estate is the buyer of the portfolio which consists of 88 industrial properties primarily located across the Mid-Atlantic and Southeast regions of the US, including Atlanta, Nashville, Norfolk, Raleigh-Durham and the Shenandoah Valley, near Washington DC.

Partners Group said, as part of a build-to-core strategy, it built the portfolio in three separate lead investments, in partnership with Equus Capital Partners.

Ron Lamontagne, managing director and co-head private real estate Americas at Partners Group, said: “We are proud to see the transformational results of the work we have done during the past three years and believe this exit represents an excellent outcome for our clients.

“We continue to see relative value in the industrial sector and, in particular, we have conviction in last-mile distribution facilities, smaller urban logistics warehouses and cold storage facilities, which are supported by resilient structural market trends.”

Jessica Wichser, the global head of asset management at Partners Group’s private real estate arm, said: “This portfolio generated strong demand from buyers due to its strategic geographic positioning, strong operating fundamentals, diversified tenant base and long-term tenant appeal.

“During our holding period, we navigated the portfolio through market disruptions caused by the COVID-19 pandemic, and adopted an entrepreneurial governance approach that allowed us to execute on our transformational investment strategy and maximize potential cashflows, fueling the portfolio’s growth and securing sustainable returns for our investors.”

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