Invesco Real Estate and Jera Asset Management have formed a US industrial real estate investment venture, seeded with an initial $500m (€411m) portfolio.
The newly-created venture, known as Mercury Trust, focuses on distribution centres, logistics properties, and cold storage warehouses among other industrial uses.
The partners said Mercury Trust has been seeded with nearly half a billion dollars worth of assets throughout the country that have been acquired or are under contract to be acquired in the near future. The plan is to acquire up to $3bn in assets over the next three to five years.
Invesco Real Estate, on behalf of an institutional client, said it ”made a significant equity commitment for investment in future acquisitions through Mercury Trust”.
Mercury Trust has also obtained a credit facility totalling $675m for current and future acquisitions.
David Kay, a managing partners at Jera Asset Management, said: “The newly formed Mercury Trust joint venture with Invesco Real Estate is a momentous occasion for all of us at Jera. Our team has been in the net-lease industry for decades and were early to the industrial sector.
“This venture continues our strategy of partnering with world-class institutions that not only give us financial backing but scale that will enable us to be a leader in the industry.”
Carrington Guy, managing partner of Jera Asset Management, said: “Invesco’s reputation as one of the top investment managers in the world and a leader in the commercial real estate industry combined with our ability to originate acquisitions of industrial assets and manage portfolios will enable us to substantially grow Mercury Trust.”
Greg Kraus, managing director and head of transactions at Invesco Real Estate, said: “We are pleased to enter this partnership with Jera through Mercury Trust and look forward to growing the relationship. “We share Jera’s positive outlook on the industrial space, and the opportunities the sector presents.”
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