Cobalt Capital Partners and USAA Real Estate Company Announce the Closing of Cobalt Industrial REIT II
September 13, 2007 - Irving, TX
Cobalt Capital Partners, a partnership between USAA Real Estate Company and Lewis Friedland, is pleased to announce the successful conclusion of fundraising for the Cobalt Industrial REIT II. The fund has raised $410 million in equity commitments from seven institutional investors including domestic pension funds, insurance companies and other fund investors.
Cobalt Industrial REIT II invests in high quality light industrial properties in major markets throughout the United States. The REIT is actively pursuing acquisitions and development opportunities, as it continues to invest primarily in multi-tenant industrial distribution buildings of up to 250,000 square feet in high growth target markets. Fund assets include diverse industrial properties located in Atlanta, Chicago, Dallas, Houston, Minneapolis, Orlando and Phoenix.
Cobalt Capital Partners LP is a venture between USAA Real Estate Company and Lewis D. Friedland, who directs the fund and oversees acquisitions, asset management, marketing and leasing. “We are very pleased to have formed yet another successful partnership with Lew Friedland, and again we extend our thanks to the six other institutional investors, many of whom have invested with us in the past,” says T. Patrick Duncan, President and CEO of USAA Real Estate Company. “Under Lew’s capable direction, Cobalt REIT II is following in the same path of Cobalt REIT I, which is fully subscribed and fully invested with quality investors and excellent acquisitions. Our goal is to continue to grow the second fund to over $1 billion in total market value. Further, it is our plan to take Cobalt Industrial REIT I to the market later in 2007.”
“Through our light industrial investment strategy, we’ve identified a niche in the market that offers great potential and attractive yields,” says Friedland. “We’re excited that we’ve so quickly concluded our fundraising efforts, and are encouraged by the acquisition activity that has already taken place. Cobalt has already acquired in excess of $150 million in assets and we have a significant pipeline of acquisitions and development in place.”
USAA Real Estate Company has sponsored fund and separate account investments on behalf of foreign and domestic institutional investors in office, industrial, retail and hospitality assets. USAA Real Estate Company has more than $3 billion in owned and managed assets under management and provides acquisition, build-to-suit and development services for corporate and institutional investors. The USAA portfolio consists of office, industrial, retail and hotel properties.