- Norges Bank Investment Management, manager of Norway’s $1.8T sovereign wealth fund, is investing $800M in Blackstone’s North American logistics fund.
- The capital will be used to acquire and develop warehouse properties in major US and Canadian population centers.
- The investment reflects Norges’ strategy to grow exposure to logistics real estate, despite recent underperformance in the sector and ongoing global trade volatility.
Norway’s sovereign wealth fund is doubling down on North American industrial real estate, reports Bisnow. Norges Bank Investment Management (NBIM), which oversees the world’s largest sovereign wealth fund, has committed $800M to Blackstone’s closed-end core-plus logistics fund focused on the US and Canada.
A Strategic Move Amid Trade Turbulence
The commitment comes as the US industrial sector navigates shifting trade dynamics, including a recent de-escalation in the US-China tariff dispute. Despite global trade uncertainty, Norges remains bullish on logistics assets in major urban markets for long-term growth.
The Fund And Its Focus
Blackstone’s Americas Logistics Fund targets warehouse assets near major population hubs, capitalizing on continued e-commerce demand and supply chain localization. The move supports Norges’ push to strengthen its real estate portfolio after consecutive losses in 2023 and 2024.
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Strengthening Ties
Norges and Blackstone have a history of collaboration. In 2017, the two partnered on a nearly $850M joint venture in Berlin, acquiring the Axel Springer headquarters. The latest investment deepens their relationship and expands Norges’ logistics footprint in North America.
Leadership Shifts And Portfolio Goals
As Norges prepares to welcome Alexander Knapp—formerly Hines’ chief development officer for Europe—as its new global head of real estate, the move signals a renewed push to improve performance in private markets. Real estate currently comprises around 5% of Norges’ portfolio, though the fund is authorized to allocate up to 9% to real estate and infrastructure.
Why It Matters
Despite global headwinds, institutional investors are betting on logistics as a resilient asset class. With container traffic rebounding sharply after the latest tariff truce, Blackstone and Norges are positioning themselves for long-term demand tied to reshoring and last-mile delivery.
What’s Next
Expect Norges to continue expanding its logistics investments globally, particularly in markets with strong demographic and e-commerce fundamentals. For Blackstone, the partnership further cements its leadership in industrial real estate investing as institutional capital flows toward supply chain-centric assets.
