H.I.G. Realty Partners Acquires Industrial Portfolio
NEW YORK – November 2, 2020 – H.I.G. Capital (“H.I.G.”), a leading global alternative investment firm with over $41 billion of equity capital under management, is pleased to announce that its affiliate, H.I.G. Realty Partners, has completed the acquisition of a “last mile” industrial portfolio at a significant discount to replacement cost.
The properties are 100% leased, located in large metro areas, and in close proximity to major thoroughfares and airports; several properties have direct railway connectivity, further enhancing their marketability to e-commerce and logistics-focused tenants. The portfolio is poised to provide attractive current cash-on-cash returns, along with significant additional value creation through sub-portfolio sales, re-leasing, and repositioning opportunities.
“The portfolio represents a continuation of our strategy to invest in value-add, strategically located, mission-critical industrial assets,” said David Hirschberg, Co-Head of H.I.G. Realty Partners. “We expect to leverage H.I.G.’s real estate expertise to maximize the inherent value in this geographically diversified portfolio which is characterized by strong tenant demand and positive submarket dynamics.”
About H.I.G. Realty Partners
H.I.G. Realty Partners is the real estate platform of H.I.G. Capital, a leading global private equity and alternative assets investment firm with over $41 billion of equity capital under management.* H.I.G. Realty Partners manages $7.8 billion of assets and focuses on small-to-mid cap real estate, targeting both equity and debt investments across all property types located throughout the U.S., Europe, and Latin America. Equity investments are concentrated on the acquisition of value-add assets, employing a hands-on, operationally focused approach that seeks to generate substantial cash flow and asset appreciation through rehabilitating, redeveloping, repositioning and rebranding assets that have been capital starved and/or poorly managed. Debt investments include senior bridge loans, mezzanine loans and preferred equity collateralized by transitional properties and portfolios. For more information, please refer to the H.I.G. website www.higcapital.com.
About H.I.G. Capital
H.I.G. is a leading global private equity and alternative assets investment firm with over $41 billion of equity capital under management.* Based in Miami, and with offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, and Atlanta in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Milan, Paris, Bogotá, Rio de Janeiro and São Paulo, H.I.G. specializes in providing both debt and equity capital to small and mid-sized companies, utilizing a flexible and operationally focused/ value-added approach:
- H.I.G.’s equity funds invest in management buyouts, recapitalizations and corporate carve-outs of both profitable as well as underperforming manufacturing and service businesses.
- H.I.G.’s debt funds invest in senior, unitranche and junior debt financing to companies across the size spectrum, both on a primary (direct origination) basis, as well as in the secondary markets. H.I.G. is also a leading CLO manager, through its WhiteHorse family of vehicles, and manages a publicly traded BDC, WhiteHorse Finance.
- H.I.G.’s real estate funds invest in value-added properties, which can benefit from improved asset management practices.
Since its founding in 1993, H.I.G. has invested in and managed more than 300 companies worldwide. The firm’s current portfolio includes more than 100 companies with combined sales in excess of $30 billion. For more information, please refer to the H.I.G. website at www.higcapital.com.
* Based on total capital commitments managed by H.I.G. Capital and affiliates.