Dermody Properties Closes Industrial Fund at $1.1 Billion
We announced the closing of our third commingled fund, the Dermody Properties Industrial Fund III, L.P., (DPIF III), on June 2, 2021.
DPIF III raised $1.1 billion, exceeding its target fundraising goal of $800 million. Investors in DPIF III include public and corporate pension funds, insurance companies and other institutional investors. Nearly all the first and second fund investors committed to DPIF III, along with significant new investors.
“Our focused strategy of investing in modern logistics facilities led to the creation of a best-in-class, nationally diversified portfolio in DPIF I and II,” said Michael C. Dermody, Chairman and Chief Executive Officer of Dermody Properties. “We look forward to continuing that same successful strategy on behalf of our investors in DPIF III.”
DPIF III will continue Dermody Properties’ long-established strategy of acquiring, developing and operating Class A, logistics-focused properties throughout major population centers and key hubs in the United States. DPIF III will invest in single-property and portfolio acquisitions as well as pursue development opportunities. Dermody Properties will utilize the breadth and depth of its highly experienced investment team and its long-standing national brand to continue to source and execute attractive investment opportunities in its target markets.
Douglas A. Kiersey, Jr., President of Dermody Properties, added, “At Dermody Properties, our mission is to create satisfied customers by providing responsive service and innovative real estate solutions, thereby sustaining long-term relationships with and garnering referrals from both brokers and customers. We strive to develop functional, attractive and high-quality buildings that enhance the communities in which we conduct our business.”
For more than 60 years, Dermody Properties has maintained a national portfolio in major markets with strong underlying fundamentals, including favorable supply-demand dynamics, high barriers to entry, above-average rent growth, institutional demand and liquidity.
“We are very pleased about our fundraising success for DPIF III and the retention of our strong institutional partners from DPIF I and II, as well as expanding our base of like-minded investors,” said Kathleen S. Briscoe, Partner and Chief Capital Officer at Dermody Properties. “We believe we can provide excellent investment opportunities for all of our global investors due to Dermody Properties’ proven strategic approach to logistics real estate and the strong team we have implementing those strategies.”
Dermody Properties is a privately-owned real estate investment, development and management firm that specializes in the acquisition and development of logistics real estate in strategic locations for e-commerce fulfillment centers, third party logistics and distribution customers. Founded in 1960, Dermody Properties has invested more than $6.2 billion of total capital across all platforms. In addition to its corporate office in Reno, Nev., it has regional offices in northern and southern California, Atlanta, Phoenix, Seattle, Chicago, Dallas and New Jersey.
The legal advisor for Dermody Properties was Kirkland & Ellis LLP.