Stream Realty Partners closes recapitalization of portfolio of seven industrial properties

Dallas, TX Stream Realty Partners has closed on the recapitalization of a portfolio of seven Class A industrial assets in Texas. The industrial properties were contributed to a continuation vehicle formed in partnership with a New York-based global investor.

The industrial parks were developed by Stream from 2021 to 2024 and comprise 4.4 million s/f of Class A industrial space catering to a variety of modern industrial users. The buildings feature clear heights ranging from 28 to 40 ft. and include a variety of cross-dock, front-load, and rear-load configurations, offering flexible footprints from 25,000 s/f of shallow bay to one million s/f of bulk distribution space. The assets are located in high-growth submarkets of Dallas, Austin, and San Antonio, having strong in-place tenancy from a diverse user base. The formation of the vehicle provides additional duration and capital to further realize the embedded value within the portfolio.

Under the terms of the transaction, the investor acquired a 35% ownership interest in the vehicle, while Stream retains a 65% ownership interest. The vehicle was formed from assets previously held in Stream’s third discretionary fund. The formation of the vehicle provides additional duration and capital to further realize the embedded value within the portfolio. Stream has sold or recapitalized over $1 billion of assets in the last 12 months.

“The closing of our first continuation vehicle is an important milestone for Stream,” said Adam Jackson, chief investment officer at Stream. “We are proud of the success our funds have achieved thus far and the attractive returns we have delivered to our investors. This transaction is a testament to Stream’s ability to develop and manage the highest quality industrial assets with resilient tenant and capital demand during a period of capital market normalization. We are grateful for new and continuing partnerships, as we look forward to the future success of these projects.”

Evercore served as the exclusive financial advisor, and Winston & Strawn served as legal advisor to Stream.