The interest in industrial outdoor storage space continues to grow. Criterion Group and Columbia Pacific Advisors have formed a joint venture (JV) for the purpose of acquiring and stabilizing an industrial outdoor storage (IOS) portfolio throughout the U.S.
The joint venture is the formalization of an already successful partnership between the two groups. Columbia Pacific Advisors Bridge Lending, a platform within the Seattle-based organization, has been instrumental in the rapid growth of the rapidly expanding portfolio.
Criterion Group is a Queens, New York-based investor and developer with 25 years of experience in development, building across multiple product types including multifamily, self-storage, industrial and film studios.
“Not many people realize that we have already been working together for quite some time,” said Shibber Khan, principal of Criterion Group. “Our IOS strategy started in early 2019, driving up and down the East Coast visiting sites, building broker networks and getting deeper understanding of the asset class. The groundwork has been the key to our success.”
The partnership has acquired more than 41 IOS properties totaling 22 million square feet in 11 states for a $360 million. These include locations in Pompano Beach, Florida; Hicksville, New York and Houston. The national portfolio of properties brings to market over 520 acres of land that will be utilized as industrial outdoor storage, which includes equipment yards, fleet storage and logistics support services. With an additional 42 properties in the pipeline, the JV plans to double its portfolio in the coming year.
“Criterion was a first mover in the IOS space and provided us the opportunity to invest early on in the life cycle,” said Will Nelson, director of real estate lending at Columbia Pacific Advisors. “We are fortunate to have partnered with them over the past five years and look forward to what the future holds for the relationship.”
