Canada’s Ivanhoé Cambridge and Oxford Properties jointly to invest in IDI Logistics

US retail market

Canada’s Ivanhoé Cambridge and Oxford Properties announced that they have signed a 50-50 joint venture partnership agreement to invest in recently acquired U.S. logistics company IDI Logistics.

Ivanhoé Cambridge acquired Atlanta-based warehouse developer IDI Logistics from Brookfield for about $3.5 billion in November 30, 2018.

“We are delighted to be working with Oxford on this venture for the future success of IDI Logistics, a company which consistently builds, operates and leases some of the best bulk-and-big-box logistics real estate in the United States, said Mario D. Morroni, Executive Vice President, Industrial, North America at Ivanhoé Cambridge. “This transaction perfectly illustrates our plan to capture the growth in demand for logistics globally, which includes a meaningful increase of our investments in that sector across four continents. In just over two years, we have grown our overall committed investments in the industrial and logistics sector from more than C$2B to more than C$9B.”

Oxford’s first logistics acquisition

“This acquisition represents Oxford’s first logistics acquisition in the United States, is complementary to our Canadian industrial portfolio and is consistent with our investment strategy to establish and grow a portfolio of best-in-class logistics assets across the globe,” commented Kevin Egan, Head of New York and US Investments at Oxford Properties. “Furthermore, it highlights the evolution and growth of our US business which now actively invests and manages across the office, retail, multifamily, logistics and credit sectors with approximately US$15.1B of assets under management. We’re excited to partner with Ivanhoé Cambridge and look forward to driving the next phase of success for IDI Logistics.”

Mark Saturno, CEO of IDI Logistics, added: “IDI is excited to welcome Ivanhoé Cambridge and Oxford Properties as new owners. Ivanhoé Cambridge and Oxford Properties bring both management expertise and capital that will support IDIL’s growth and continue its thirty-year track record of success.”

The joint venture will own the operating and development company, a portfolio of 111 quality operating assets covering 31 million sf, 35 development projects covering 16 million sf and IDI’s quality landbank of 33 land parcels allowing for an additional build-out potential of 17 million s.f.

Ivanhoé Cambridge and Oxford intend to contribute their collective experience and resources to further the strategic positioning and growth of IDI, a high-quality logistics platform. The partnership will benefit from the strong support of IDI’s national management team and its 70+ employees across 6 regional offices in the U.S. to make IDI a continued success.