Partnership will target development of modern warehouse facilities in supply-constrained markets across the U.S., including a 2.6-million-square-foot development in Miami
CHICAGO and TORONTO (December 20, 2021) –– Bridge Industrial (“Bridge”), a privately-owned, vertically integrated real estate operating company and investment manager, and Canada Pension Plan Investment Board (“CPP Investments”) today announced the formation of a joint venture to develop industrial properties in several core markets across the United States.
CPP Investments and Bridge have allocated US$1.1 billion in equity to the joint venture, and will focus on developing industrial assets for long-term ownership in core U.S. markets. CPP Investments will own a 95% stake in the joint venture and Bridge will own the remaining 5%.
“We’re excited to form this new strategic partnership with CPP Investments, which will allow Bridge to continue to scale our infill portfolio in our core U.S. markets,” said Steve Poulos, Founder and CEO of Bridge. “Demand for industrial space continues to outpace supply in infill markets across the U.S., supporting Bridge and CPP Investments’ shared vision of the long-term value and opportunity in the industrial sector.”
The venture was seeded with a 175-acre site within Miami’s Airport West submarket, located in the city of Doral. The development will include six buildings that will total 2.6 million square feet of state-of-the-art warehouse space once completed.
“We’re pleased to form a new partnership in the growing industrial real estate sector alongside proven developer and operator Bridge, further diversifying our real estate investments across multiple U.S. markets,” said Peter Ballon, Managing Director, Global Head of Real Estate, CPP Investments. “The significant demand for purpose-built logistics real estate that can help ease existing warehouse supply burdens aligns with our long-term investment strategy.”