Newport Beach, Calif. – January 26, 2021 – CapRock Partners, a leading private industrial investment and development firm in the Western U.S., today announced the final close of its oversubscribed CapRock Partners Industrial Value-Add Fund III at its hard cap of $250 million. The fund exceeded its original target of $200 million and attracted additional co-investment commitments of an undisclosed amount. The firm’s fifth fund overall, CapRock Partners Industrial Value-Add Fund III includes commitments from premier U.S.-based institutional investors including pension funds, endowments and fund of funds, as well as high-net-worth investors and family offices.
“We’re humbled by the incredible response that our third value-add fund has received and grateful for the confidence that investors have placed in CapRock Partners and its investment strategy,” said Jon Pharris, president, CapRock Partners. “This fund will continue our investment strategy of acquiring unique middle market value-add industrial investment opportunities. Given our deep relationships, decades of experience and credibility as a buyer in the market, we are uniquely positioned to find these opportunities and unlock value.”
CapRock Partners Industrial Value-Add Fund III focuses on the acquisition of middle market, value-add industrial properties, typically between $20 million to $50 million per acquisition, across key West Coast port markets. In combination with co-invest commitments, the fund enables CapRock Partners to acquire $800 million to $1 billion of industrial assets in the next couple years in its primary markets of California, Nevada and Arizona and in secondary industrial markets across Utah and the Pacific Northwest.
To-date, approximately one-third of the fund has been allocated with CapRock Partners acquiring or in escrow to acquire 14 value-add properties totaling more than 2.3 million square feet throughout Southern California, the Phoenix metro area and the greater Las Vegas basin.
“Right as we held our initial close in February, the first Covid-19 wave hit the U.S. causing the entire real estate sector to stop in its tracks and assess the impact of this black swan event,” Pharris added. “Despite the tragedy of this pandemic and its impact on the overall U.S. economy, Covid-19 resulted in increased investor demand for the industrial sector. It is a testament to our prudent investment approach, strong track record and great team that we were oversubscribed in a challenging capital raising environment.”
Edgeline Capital Partners advised CapRock Partners as the exclusive capital placement agent on the CapRock Partners Industrial Value-Add Fund III fundraise.
In addition to its value-add investment platform, CapRock Partners also is one of the most active developers of large-scale institutional-quality, Class A industrial warehouse facilities across the Western U.S. In 2021, CapRock will be under construction on more than 7 million square feet of industrial real estate including multiple 1-million-square-foot, Class A industrial projects across California, Nevada and Arizona.
Founded in 2009, Newport Beach, California-based CapRock Partners is one of the leading private industrial real estate investment and development firms in the Western U.S. The company specializes in acquiring middle-market value-add industrial assets, developing large-scale institutional-quality Class A industrial warehouse facilities in key locations, and providing third-party asset management services for institutional investors. CapRock Partners is registered with the U.S. Securities and Exchange Commission. The firm is actively acquiring land for development across the Western U.S. Since inception, its total investment and development pipeline exceeds 25 million square feet of industrial real estate. For more information, visit www.caprock-partners.com. Follow the company on Facebook, LinkedIn, Twitter and Instagram.