Faropoint Sells Minority Stake to Invesco Real Estate

Faropoint, a Hoboken, NJ-based investment firm focused on last-mile industrial properties, closed on a strategic investment from Invesco Real Estate, who acquired a minority stake in its platform.

The amount of the deal was not disclosed. The transaction was structured by Invesco Real Estate’s Platform Investments team, led by Andrew Lane, senior director.

Faropoint is an active buyer of small bay U.S. warehouses. Since 2018, the firm has acquired more than 400 warehouses and 20 million square feet of last-mile industrial properties.

Much of this is due to proptech, in-house AI tools, and the intensive use of data to seek and underwrite deals in the country’s top-tier industrial submarkets.

“This investment strengthens our commitment to optimizing our execution across highly fragmented markets such as infill industrial real estate by leveraging technology to efficiently identify and accurately underwrite investment opportunities nationally,” said Bert Crouch, head of North America at Invesco Real Estate.

The company invests in 15 markets across the East Coast, Midwest, Southwest and Texas, each with strong demographics and high construction barriers to entry. Last month, Faropoint acquired two industrial parks in the North Bergen County, NJ submarket for a combined $144.5 million.