Staley Point Capital and Bain Capital Announce Strategic Expansion into San Diego Industrial Market with Two Acquisitions

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Apr 01, 2024, 09:00 ET

The joint venture acquired the 100% leased assets for approximately $25 million

SAN DIEGO, April 1, 2024 /PRNewswire/ -- Staley Point Capital ("Staley Point"), a value-add investor focused on industrial properties across the West Coast, and Bain Capital Real Estate ("Bain Capital"), the real estate investing business of Bain Capital, today announced the acquisitions of two industrial properties in Vista, California, a submarket of North County San Diego. The properties, 2325 Cousteau and 2210 Oak Ridge, were acquired for an aggregate purchase price of approximately $25 million and mark the joint venture's entrance into the San Diego market, adding to its portfolio of high-quality industrial assets across the region. Since forming a partnership in September 2020, Staley Point and Bain Capital have actively acquired infill industrial properties throughout the West Coast.

2325 Cousteau and 2210 Oak Ridge are two adjacent, Class A infill warehouses spanning more than 111,500 square feet. Both properties are 100% leased to a long-standing global credit tenant. The properties were acquired for $220 per square foot, representing a significant discount to replacement cost. Both highly functional assets, 2325 Cousteau offers a 26-foot clear height and two dock high positions, while 2210 Oak Ridge offers a 27-foot clear height and four dock high positions. Consistent with the joint venture's commitment to ESG, the tenant is installing solar panels on each rooftop to improve energy efficiency.

"As a supply-constrained market, with just 1% of annual new supply in the last 20 years and no construction underway, there is significant demand for well-located and well-maintained industrial product in North County," said Eric Staley, Managing Partner of Staley Point. "The acquisitions of 2325 Cousteau and 2210 Oak Ridge mark our strategic expansion into a high-conviction market and are reflective of our ability to provide certainty, credibility and speed of execution throughout the investment process."

The assets are proximate to major roadways, including California's State Route 76, Interstate 15 and Interstate 5, providing seamless connectivity across Southern California's hubs. The properties benefit from their desirable location within North County, which is one of the best performing submarkets in San Diego and features a uniquely diverse tenant base including companies in the defense, life science, biomanufacturing, technology and light manufacturing sectors. The submarket has experienced an 8% ten-year compound annual growth rate and 10% year-over-year growth from Q4 2022 to Q4 2023 per research from JLL.

"In addition to limited supply, San Diego's strong, long-term industrial fundamentals continue to be supported by its diverse demand drivers," said Andrew Terris, a Partner at Bain Capital. "We look forward to expanding our Southern California footprint to San Diego with Staley Point as we continue to capitalize on attractive investment opportunities in our infill industrial strategy."

About Staley Point Capital
Staley Point Capital is a Los Angeles-based real estate investment firm. The firm was founded in 2019 by Kevin Staley and focuses on the acquisition of value-add and opportunistic real estate investments primarily in the industrial sector. The current portfolio is diversified across the Southern California, Seattle and the San Francisco Bay Area. To find out more, visit www.staleypoint.com.

About Bain Capital Real Estate
Bain Capital Real Estate was formed in 2018 and pursues investments in often hard-to-access sectors underpinned by enduring secular trends that drive long-term demand growth for real estate assets and services. The Bain Capital Real Estate team has been executing its strategy since 2010 (formerly as a part of Harvard Management Company), having invested and committed over $7.7 billion of equity across multiple sectors. Bain Capital Real Estate focuses on assets where the team applies its deep industry expertise to accelerate impact and drive operational improvements. Bain Capital Real Estate's strategy aligns with the value-added investment approach that Bain Capital pioneered and leverage's the firm's global platform and significant experience across asset classes to further bolster its insights and sourcing capabilities. Bain Capital is one of the world's leading private investment firms with approximately $180 billion of assets under management. For more information, visit https://www.baincapitalrealestate.com.

Media Contacts

For Staley Point Capital
Morgan McGinnis, Prosek Partners
[email protected]

For Bain Capital Real Estate
Scott Lessne
Stanton
(646) 502-3569
[email protected]

SOURCE Staley Point Capital