October 19, 2021

Barings & Vision Real Estate Partners Acquire Melanie Lane Industrial Portfolio

Barings & Vision Continue to Execute on Industrial Strategy with Northern New Jersey Acquisition
 

Barings, one of the world’s leading investment managers, announced today that it has acquired an approximately 167,000 square foot industrial portfolio located in the highly-infill Northern New Jersey submarket of Morris County. 

The Portfolio is comprised of three shallow-bay industrial facilities that feature a high-quality and diverse rent roll. Accessible to 2.3 million consumers within 15 miles and nearly 10 million consumers within an hour-drive, the Melanie Lane Industrial Portfolio is located near several of New Jersey’s most affluent communities, including Morristown, Essex Fells, Chatham, Livingston, Madison, and Florham Park. 

Barings acquired the Melanie Lane Industrial Portfolio with its joint-venture partner Vision Real Estate Partners. Well-known for its deep roots in the New Jersey/New York regional marketplace, Vision Real Estate Partners is a full-service real estate owner/operator and specializes in development, property management, asset management, and construction.

Barings has conviction that there is strong relative value in infill industrial assets due to the growing demand for last-mile delivery across the tri-state area. This conviction is reinforced by the strong annual rent growth experienced in the submarket and the limited availability of new developable land.

“We are excited to add the Melanie Lane industrial assets to Barings’ portfolio,” said Chris Berry, Managing Director for Barings U.S. Real Estate. “The firm's active management approach and targeted focus have translated to a successful industrial track record, and we look to continue this execution with this portfolio.”

The Northern New Jersey industrial market is one of the most supply constrained markets in the U.S., and as of Q2 2021 had a vacancy rate of 3.5%. The fourth largest industrial market in the nation, the Northern New Jersey industrial market continues to see robust demand for warehouse space.

“We are excited to partner with Barings on the acquisition of the Melanie Lane Industrial Portfolio,” said Ross Chomik, Managing Partner of Vision Real Estate Partners.  “The Portfolio was particularly attractive to us given its location and proximity to affluent surrounding communities and Northern NJ’s strong highway network.  Vision’s hands-on management platform and immediate local presence will provide a significant value-add to the Portfolio and our partnership.  This acquisition further demonstrates Vision’s commitment to acquiring and developing industrial product in our core market.”  

“Barings continues to target high-quality infill industrial assets, and we are excited to increase our footprint in the Northern New Jersey industrial market, given its strong supply/demand fundamentals, which position it for sustained growth into the future,” said Payton Larson, Barings Director and Acquisitions Officer.

Consistent with Barings’ commitment to sustainability, the Melanie Lane Industrial Portfolio will present the Barings team with opportunities to incorporate ESG-specific features, such as high-efficiency HVAC equipment, and the property has the ability to incorporate solar onto roofs.
 

About Barings

Barings is a $387+ billion* global investment manager sourcing differentiated opportunities and building long-term portfolios across public and private fixed income, real estate, and specialist equity markets. With investment professionals based in North America, Europe and Asia Pacific, the firm, a subsidiary of MassMutual, aims to serve its clients, communities and employees, and is committed to sustainable practices and responsible investment. Learn more at www.barings.com.

*Assets under management as of September 30, 2021
 

About Vision Real Estate Partners

Vision Real Estate Partners is a full-service real estate owner/operator, specializing in development, property management, asset management and construction. The firm is well known for its deep roots and experience in the New Jersey/New York regional marketplace, and for its track record of identifying properties with great potential and transforming them into superior assets. For more information, visit www.visionrep.com.
 

Important Information

The document is for informational purposes only and is not an offer or solicitation for the purchase or sale of any financial instrument or service in any jurisdiction. The material herein was prepared without any consideration of the investment objectives, financial situation or particular needs of anyone who may receive it. This document is not, and must not be treated as, investment advice, an investment recommendation, investment research, or a recommendation about the suitability or appropriateness of any security, commodity, investment, or particular investment strategy, and must not be construed as a projection or prediction.

In making an investment decision, prospective investors must rely on their own examination of the merits and risks involved and before making any investment decision, it is recommended that prospective investors seek independent investment, legal, tax, accounting or other professional advice as appropriate.

Unless otherwise mentioned, the views contained in this document are those of Barings. These views are made in good faith in relation to the facts known at the time of preparation and are subject to change without notice. Individual portfolio management teams may hold different views than the views expressed herein and may make different investment decisions for different clients. Parts of this document may be based on information received from sources we believe to be reliable. Although every effort is taken to ensure that the information contained in this document is accurate, Barings makes no representation or warranty, express or implied, regarding the accuracy, completeness or adequacy of the information.

This document is issued in Australia by Barings Australia Pty Ltd.