Rockpoint, BEB Capital to invest in Northeastern US industrial assets

Rockpoint Group, BEB Capital to invest in Northeastern US industrial assets

BEB Capital, an investor and developer of industrial, office and multifamily assets throughout the East Coast, has formed a programmatic joint venture with real estate private equity firm Rockpoint Group.

The JV will target an investment pipeline of up to $1 billion of industrial assets in the Northeastern United States, with a primary focus in Long Island, NY.

The partnership has assembled nearly 660,000 square feet of industrial assets to date, including the recent Long Island, NY acquisitions of 44 Ramsey Road in Shirley and 100 Marcus Boulevard in Hauppauge.

“The U.S. industrial and last-mile logistics sector continues to be red-hot, and with the growth of e-commerce accelerating during the pandemic, we expect there to be continued strong demand in this asset class,” said Lee J. Brodsky, Chief Executive Officer of BEB Capital. “Together with Rockpoint, an institutional partner that aligns with our entrepreneurial values and market outlook, we’re poised to continue to grow a value-add portfolio that will capitalize on the economic tailwinds driving the real estate industry and broader economy forward.”

BEB Capital said e-commerce companies require, on average, approximately 1.25 million square feet per $1 billion of online sales, three times that of traditional retailers.

According to the company, the domestic e-commerce market alone will require upwards of an additional 250 million square feet of industrial space in the next five years just to keep pace with the growing demand, an exponential increase in utilization.