Dermody Properties Closes Industrial Fund at $619,298,000
We have recently announced the closing of our second co-mingled fund, the Dermody Properties Industrial Fund II, L.P., (DPIF II), on August 31, 2018.
DPIF II raised $619.3 million, exceeding its target fundraising goal of $600 million. Investors in DPIF II include public and corporate pension funds, insurance companies and other institutional investors.
“Significantly, one hundred percent of our first fund investors have committed to DPIF II,” said Michael Dermody, Chairman and Chief Executive Officer of Dermody Properties. “Our focused strategy of investing in modern logistics facilities led to the creation of a best in class, nationally diversified portfolio in DPIF I. We look forward to continuing that same successful strategy on behalf of our investors in DPIF II.”
DPIF II 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 II 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, “We will leverage our local market knowledge and deep customer relationships to continue to construct, through acquisition and development, a very high-quality portfolio of logistics-focused assets.”
Dermody Properties’ objective is to create a portfolio of institutional-quality logistics-focused industrial assets in major markets with strong underlying fundamentals, including favorable supply-demand dynamics, high barriers to entry, above-average rent growth, institutional demand and liquidity. Dermody Properties seeks to create value by driving net operating income growth through a culture of execution and hands-on operational excellence.
“We are very pleased about our fundraising success for DPIF II and the retention of our strong institutional partners from DPIF I, 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 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.”
Park Hill Real Estate acted as the exclusive placement agent for DPIF II. The legal advisor for Dermody Properties was Kirkland & Ellis LLP.