Wells Fargo leads major CMBS transaction backed by 42-property industrial portfolio
CIP Real Estate and Almanac Realty Investors have completed an $820 million refinancing on a large industrial portfolio that spans six major U.S. markets. The financing covers 42 properties totaling 6.13 million square feet of shallow-bay industrial space across the Southeast and California.
The joint venture secured a two-year, floating-rate, interest-only loan with three additional one-year extension options.
The refinancing was executed as a single-asset, single-borrower CMBS deal led by Wells Fargo, with JPMorgan Chase and Goldman Sachs contributing to the loan origination.
According to CMBS analysis from Fitch Ratings, proceeds were used to retire $602.2 million in existing debt, while $191.9 million was returned as equity to the sponsors. Fitch also rated the newly issued bond offering.
Despite ongoing tight credit conditions, the transaction highlights strong lender interest in diversified industrial portfolios, providing both stability and growth potential for the sponsors.
“This refinancing represents a significant milestone for our partnership with Almanac and underscores the strength of our diversified industrial portfolio,” said Eric Smyth, CEO of CIP Real Estate.
Strategic Repositioning Continues Across the Portfolio
The CIP–Almanac joint venture assembled the 42-asset portfolio between 2019 and 2023, for a combined purchase price of $786.7 million, according to Fitch. The sponsors later invested an additional $140.9 million—mainly for roof upgrades—bringing total investment to $927.6 million.
As of September, the portfolio was 91% leased to more than 950 tenants, ranging in size from 16,176 to 944,655 square feet. The owners plan to continue repositioning strategies, including converting space for tenants needing flexible industrial layouts.
The portfolio includes assets in:
- Atlanta, Georgia
- Dallas–Fort Worth, Texas
- Charlotte, North Carolina
- Tampa, Florida
- California’s East Bay
- Inland Empire
The properties are strategically located near major transportation networks and populated business hubs and serve a mix of logistics operators, e-commerce companies, distribution users, and last-mile delivery tenants.
The largest asset, Gwinnett Commons in Norcross, Georgia, anchors the portfolio. The 16-building, 944,655-square-foot business park carries an appraised value of $147 million.
For the Record
JLL represented CIP and Almanac in the refinancing.
The debt advisory team included Kevin MacKenzie, Christopher Pratt and Peter Thompson, supported by local investment sales professionals.
Source: Original reporting by Mark Heschmeyer, CoStar News.
