Newmark Facilitates Major Recapitalization of Industrial Portfolio with Blackstone

Newmark Group, Inc., a prominent commercial real estate advisor, has announced its role in advising Crow Holdings on the recapitalization of a substantial six-million-square-foot industrial portfolio. This significant transaction involves Core+ funds affiliated with Blackstone Real Estate acquiring a 95% stake in the portfolio, which comprises 25 Class A buildings located strategically in Dallas, Houston, and Chicago.

The deal, finalized on July 1, 2025, highlights the ongoing robust investor interest in industrial real estate, especially in high-growth U.S. markets. Newmark’s team, led by Senior Managing Director Dom Espinosa and supported by President and Global Head of Industrial & Logistics Capital Markets Jack Fraker, Vice Chairman Dustin Volz, and Executive Vice Chairman Kevin Donner, played a pivotal role in advising Crow Holdings throughout the process.

Strategic Importance of the Transaction

The recapitalization underscores the strength of the industrial sector as a prime target for long-term investment. According to Chad Lavender, Newmark President of Capital Markets for North America, “Capital markets activity in high-growth U.S. markets continues to demonstrate strong investor appetite, with industrial remaining a top target for long-term capital.” This sentiment reflects the broader market dynamics where industrial assets are highly sought after due to their stability and growth potential.

Jack Fraker emphasized the significance of the transaction, stating, “This notable transaction underscores the continued conviction in industrial as a leading asset class – particularly in high-performing markets.” The portfolio’s Class A logistics spaces are well-located, making them attractive to institutional investors seeking quality assets.

Crow Holdings and Blackstone: A Unique Partnership

Crow Holdings, founded by industry icon Trammell Crow in 1948, is a Dallas-based real estate development and investment management firm with $33 billion in assets under management. The firm’s extensive experience and large-scale development platforms in multifamily and industrial sectors make it a formidable player in the real estate market.

Dom Espinosa highlighted the partnership’s significance, saying, “This closing brings together a unique partnership between the world’s largest real estate investor and one of the nation’s premier, privately-held real estate development and investment firms.” The collaboration is a testament to the strength and potential of the Dallas, Houston, and Chicago industrial markets, as well as the infill nature and state-of-the-art specifications of the assets involved.

Implications for the Industrial Real Estate Market

The transaction is a strong endorsement of the industrial real estate sector’s future prospects. As demand for logistics space continues to grow, especially in key urban centers, the value of well-located, high-quality industrial properties is expected to rise. This trend is driven by factors such as e-commerce growth, supply chain optimization, and the need for modern logistics facilities.

Experts suggest that the industrial sector will remain a focal point for investors, with continued interest from both domestic and international players. The recapitalization deal not only highlights the sector’s current appeal but also sets the stage for future investments and developments in similar markets.

Looking Ahead

As the industrial real estate market continues to evolve, transactions like the one facilitated by Newmark and involving Crow Holdings and Blackstone are likely to become more common. The strategic positioning of assets and the ability to meet investor demand for quality logistics space will be crucial in shaping the sector’s trajectory.

With Newmark’s expertise and the backing of major investment firms like Blackstone, the industrial real estate landscape is poised for significant growth and transformation. The successful recapitalization serves as a model for future deals, illustrating the potential for collaboration between leading real estate entities.

Legal counsel for Crow Holdings in this transaction was provided by Fried Frank, ensuring that all aspects of the deal were managed with precision and expertise.

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