Dermody Properties Announces Joint Venture with Granite REIT
PORTLAND, Ore. – Dermody Properties, a leading national private industrial development firm, today announced the formation of a joint venture partnership with Granite Real Estate Investment Trust (“Granite”) (TSX: GRT.UN / NYSE: GRP.U) for its industrial property at 18201 NE Portal Way in Portland, Ore. Dermody Properties will retain an ownership interest in the project and will continue to be responsible for asset management and leasing. The 265,000 square foot building, known as LogistiCourt at Portal Way, was completed in March 2008 and is fully occupied by the following companies: Lacrosse Footwear/Danner Boots; Samuel, Son & Company; BWGS/Worm’s Way; and Vistar Corporation/Performance Food Group.
Granite is a Canadian-based Real Estate Investment Trust (REIT) engaged in the ownership and management of predominantly industrial properties in North America and Europe. Granite owns approximately 29 million square feet in 107 rental income properties.
“This strategic venture illustrates that world-class institutional real estate investors are attracted to the Portland market,” said Kirk Olsen, partner, Dermody Properties Northwest Region Office. “We anticipate leveraging this deal structure with Granite to expand the Dermody Properties relationship with them in future projects.”
The LogistiCourt at Portal Way building, and the Morgan Distributing facility completed in 2010, are results of a partnership between Dermody Properties and the Portland Development Commission (PDC) formed in 2007. The objective of the arrangement was to generate employment opportunities in Portland’s Airport Way Urban Renewal Area by accelerating industrial real estate development. To date, Dermody Properties has overseen $35 million of real estate investment on 25 acres in the park, now home to five companies that have generated more than 550 high-quality jobs.
“The transaction with Granite in Portland is a continuation of our strategic partnership that includes other projects in Louisville, Ky.; Central Pennsylvania; Savannah, Ga.; and southern New Jersey,” said Douglas Kiersey, President of Dermody Properties. “The growth of our development platform enables Dermody Properties to offer outstanding facilities and service to our customer base.”