Realterm Industrial

ABOUT THE PROGRAM
Introduction
Realterm Industrial is leveraging its relationship with users in the air express, logistics and freight forwarding sectors to establish a presence “outside the fence” at the nation’s busiest air cargo gateway markets, complementing its dominant presence on tarmac. Its parent’s and affiliates’ longstanding expertise with supply chain dynamics position Realterm Industrial to target, acquire and realize value through the investment cycle.

Investment Criteria

Fee-simple industrial assets proximate to the perimeter of established air freight-serving airports in the U.S.
Irreplaceable infill locations
Stable historic occupancies with low lease rate volatility
Minimum 15’ clear heights with loading comparable to competitive set
Environmental considered on a case-by-case basis
Airport related tenant focus, including integrators, freight forwarders, 3PL providers, food service, value-add services, and airport and distribution ancillary service providers
$2mm minimum deal size; no maximum • Ground leasehold interests will be considered, not preferred

The Strategy
Realterm Global (www.realterm.com), the parent organization of Aeroterm and NorthAmerican Terminals (NAT), is targeting for acquisition industrial properties within close proximity to major cargo airports.

The acquisition, asset management, leasing and property management of over 8.5 mm sf of on-airport industrial property (largely lease-hold interests) and nearly 6,000 truck terminal doors spread over 950 acres, provides a mature platform from which to launch a new investment strategy targeting industrial assets within effective proximity of the airport fence. Building on its parent’s verifiable success as an investment manager in the transportation logistics real estate sector, Realterm Industrial will leverage its relationships with users and familiarity with niche industrial real estate to capitalize on falling rents and rising capitalization rates at properties which can benefit from the company’s core competencies.

Realterm Industrial’s strategy focuses on properties located in the nation’s busiest air cargo gateway markets with direct access to the airport and dense population centers. Currently, our tenant base provides direct relationships with companies in the air express, logistics and freight-forwarding sectors. These relationships establish a competitive advantage “outside the fence” complementing our on airport portfolio. The sponsors of Realterm Industrial have longstanding and intimate familiarity with supply chain dynamics, positioning it well to target valuable assets within identified markets.

The Sponsor
Realterm Global has been an active investor in the industrial transportation real estate space since the recession of the early 90’s. In partnership with institutional capital investors, the company profited by identifying under-realized investment sectors and then consolidated these sectors into dominant market positions. With an average of 20 years industry experience, Realterm Global’s management team blends strategic analysis and entrepreneurial thinking with institutional investing experience, creating targeted investment strategies based on intrinsic asset value, barriers to competition, counter-cyclical movement, and potential for greater-than-average rent growth.

Realterm Global manages one of the largest logistics real estate portfolios in North America via its investment subsidiaries Aeroterm, and NorthAmerican Terminals. Internationally, Realterm FCH sponsors a joint venture focused on development of modern format industrial and distribution facilities in India. The vehicle is capitalized with $242 mm of equity provided by 11 institutional investors. Realterm Global and its affiliates maintain a presence in 90% of the major logistics markets in North America, with 240 buildings (15 mm sf) under management in 50 MSAs.