TPG AG U.S. Real Estate and Redfearn Capital have acquired a 5.4 million-square-foot industrial portfolio for $628 million, Commercial Observer can first report. 

The seller was DRA Advisors, while BDT & MSD Partners provided a $479 million loan in the deal, sources said. 

The 53-building portfolio, which is roughly 87 percent occupied, includes both logistics and manufacturing properties spread across Florida, Georgia, North Carolina, Tennessee, Minnesota, Illinois and Oregon. Shallow-bay industrial assets in high barrier-to-entry markets make up the majority of the portfolio, and TPG AG now plans to add value through capital investment in the properties. 

The majority of the portfolio assets are in major industrial markets in the Southeast such as Tampa, Atlanta and Charlotte, N.C.

In addition to Redfearn, TPG AG purchased the portfolio with two additional operating partners: Atlanta Property Group and Matterhorn Venture Partners. Each will co-manage the portfolio in their respective markets. 

“This acquisition represents another significant milestone in our investment strategy and reinforces our conviction in the long-term fundamentals of the U.S. shallow-bay industrial sector,” Chris Oka, a managing director at TPG AG, said. “We are pleased to continue our long- standing partnerships with best-in-class operating partners Redfearn, Atlanta Property Group and Matterhorn Venture Partners to acquire and operate a portfolio of high-quality assets with strong occupancy, diversified tenancy, and compelling opportunities to create value through active asset management. We look forward to supporting the portfolio’s continued growth.”

“We’ve been intentionally building an industrial platform centered on well-located infill assets in markets with long-term demand,” Alex Redfearn, founder, president and CEO of Redfearn Capital, said in a statement. “This transaction accelerates that strategy in a meaningful way. It expands our presence across the Southeast, increases our operating scale, and positions us to continue growing through disciplined acquisitions.” 

TPG and Delray Beach, Fla.-based Redfearn are no strangers to one another, with a partnership that dates back to 2021. This may be the largest transaction executed by the two, but in February they closed a $150 million refinance for a 10-asset industrial portfolio, and in October they partnered to acquire two warehouses in Miami-Dade County for $37 million, The Real Deal reported. Further back, the partnership snapped up an eight-building industrial portfolio in Jacksonville, Fla., for $47.8 million in May 2024.

This recent acquisition brings Redfearn’s industrial assets under management to more than $1.2 billion across 8 million square feet.

Eastdil and BDT & MSD couldn’t immediately be reached for comment.

Cathy Cunningham can be reached at ccunningham@commercialobserver.com