Investor Duo Team Up for Outdoor Storage Yard Buy

CenterSquare Investment Management and PAGEWOOD have joined forces to acquire Gateway Industrial Commons, a 621,000-square-foot industrial services facility (ISF) portfolio. ISFs are typically truck terminals, material and container storage yards, and equipment maintenance facilities.

Comprised of 46 buildings spanning nine properties in the NW submarket in Houston, the Portfolio caters to a diverse array of service-oriented tenants and accommodates users of various sizes, with spaces ranging from 1,000-30,000 square feet.

New Service Industrial inventory remains limited, due to both high barriers to entry and rising construction costs, positioning sector fundamentals to remain favorable for the foreseeable future. 

CenterSquare and PAGEWOOD intend to address deferred maintenance and make a range of capital improvements throughout the properties. The JV says with improved aesthetics and institutional management of operations, the Portfolio will be positioned to significantly increase the in-place rental rates to align with prevailing market rates and drive meaningful growth of net operating income.