LogisticsPro REIT Launches $500 Million Fund Targeting E-Commerce Infrastructure Amid Record Warehouse Demand
CHICAGO, April 15, 2025 — LogisticsPro REIT (NYSE: LPR), a leading industrial real estate investment trust, today announced the launch of its Logistics Growth Fund IV, a $500 million opportunistic vehicle dedicated to acquiring and developing e-commerce distribution facilities in major metropolitan markets across the United States.
The fund launches as industrial real estate faces unprecedented demand from online retailers expanding their fulfillment networks. According to recent market data, e-commerce accounted for 56% of all retail sales growth in 2024, while occupied logistics space has increased 12% since the pre-pandemic period. LogisticsPro aims to capitalize on this structural shift by targeting properties strategically positioned within a single-day delivery radius of population centers exceeding 1 million residents.
Industry research underscores the accelerating need for specialized logistics infrastructure. A comprehensive report from Prologis observes how e-commerce continues to drive logistics real estate growth, noting that e-commerce companies’ share of new leasing activity rose 19% in 2024 above 2023 levels . The analysis projects that U.S. e-commerce penetration will hit 30% by 2030, generating demand for an additional 250 million to 350 million square feet of logistics facilities over the next five years. This trend reflects a fundamental recalibration of supply chains, as businesses require three times the distribution space to support online sales compared with traditional brick-and-mortar retail.
“E-commerce is no longer a growth channel—it’s the dominant retail paradigm,” said Jennifer Martinez, Chief Executive Officer of LogisticsPro REIT. “Our fund is engineered to capture the intersection of three powerful forces: accelerating online consumption, the critical shortage of urban infill logistics sites, and the intensifying requirement for same-day delivery capabilities. We’ve already identified a robust pipeline of acquisition targets in high-barrier markets where land scarcity and zoning restrictions create durable competitive advantages.”
The fund will deploy capital across three primary strategies: acquiring stabilized last-mile facilities in coastal gateway markets, developing build-to-suit distribution centers for major e-commerce tenants, and repositioning underutilized urban industrial properties into modern fulfillment hubs. Initial acquisitions include a 450,000-square-foot facility in the Inland Empire, California, and a 200,000-square-foot infill distribution center in Secaucus, New Jersey, both leased to investment-grade tenants on long-term agreements.
Geographically, Logistics Growth Fund IV will concentrate on markets where e-commerce penetration has outpaced logistics supply, including Southern California, Northern New Jersey, Dallas-Fort Worth, Chicago, and South Florida. The strategy emphasizes properties with clear height of 36 feet or more, extensive truck court depths, and proximity to interstate highways and last-mile delivery networks. The fund anticipates deploying 70% of capital within 18 months, with target levered returns of 12-15% over a five-year hold period.
Market fundamentals strongly support the investment thesis. An Ansarada 2025 Global Real Estate Outlook Report found that 88% of commercial real estate investors expect revenue growth this year, with logistics assets commanding premium valuations due to their recession-resistant cash flows and essential role in modern commerce. Unlike traditional retail REITs facing occupancy pressure from store closures, industrial landlords benefit from tenant retention rates exceeding 85% and average lease terms of seven to ten years, providing stable income streams amid economic volatility.
About LogisticsPro REIT
LogisticsPro REIT (NYSE: LPR) is a self-administered real estate investment trust that owns and operates approximately 45 million square feet of industrial properties across major U.S. logistics corridors. Since its founding in 2010, the company has specialized in last-mile distribution facilities and e-commerce fulfillment centers, serving a diversified tenant base that includes leading online retailers, third-party logistics providers, and consumer goods companies. LogisticsPro has successfully launched three previous funds totaling $1.2 billion, delivering average net IRRs of 14.3% to institutional investors. The company is headquartered in Chicago and maintains regional offices in Los Angeles, New Jersey, and Dallas.
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