- Bain Capital and Oliver Street Capital purchased 11 Class B warehouses in Northern New Jersey for $208M, furthering their joint venture’s regional footprint.
- The 784K SF portfolio is 88% leased to a diverse group of local and national tenants, reflecting strong demand for smaller-format industrial facilities.
- This acquisition marks Bain and Oliver Street’s fifth deal in the area and underscores growing investor interest in infill industrial assets amid tight supply.
Expanding a Strategic Footprint
Boston-based Bain Capital and Oliver Street Capital closed a $208M deal for 11 NJ industrial properties, per The Real Deal. Although the companies did not publicly name the seller, sources state that the portfolio came from Blackstone Group.
The deal builds on Bain and Oliver Street’s long-term focus in the region, marking their fifth acquisition in New Jersey since launching their joint venture in 2015.
The Details
The properties, all Class B warehouses, total 784K SF and are currently 88% occupied. Tenants include a mix of local and national users, benefiting from Northern New Jersey’s proximity to the New York City consumer base.
The largest asset in the portfolio is a 125K SF facility located at 8 Vreeland Avenue in Totowa.
Ryan Cotton, head of Bain’s real estate group, said the acquisition fits squarely within their strategy of targeting smaller-format, infill warehouse assets. “This is a compelling opportunity to meaningfully scale and diversify our infill industrial portfolio in Northern New Jersey, one of the country’s most supply-constrained and strategically important warehouse markets,” he said.
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Building Momentum
Bain Capital has been steadily growing its real estate platform since 2017, when it acquired Harvard Management Company’s real estate team. Its joint venture with Oliver Street Capital, formed in 2019, has deployed over $1.5B, acquiring 62 properties totaling more than 6M SF across major urban centers including New York, Boston, and Washington, DC
Why It Matters
The surge in demand for last-mile and infill logistics facilities, particularly smaller, well-located warehouses, has intensified in the wake of continued e-commerce growth and supply chain reshuffling. Investors like Bain Capital are betting on continued strong fundamentals in high-barrier-to-entry markets like Northern New Jersey, where supply remains extremely tight.
What’s Next
With Bain and Oliver Street committed to scaling their infill industrial strategy, further acquisitions across the Northeast corridor and other key urban markets are likely to follow. As supply chain dynamics evolve, competition for well-located warehouse assets is expected to stay fierce.
