Catalyst Investment Partners announced that it secured $281 million in separate financings for Catalyst IOS Fund II from Blackstone Real Estate Debt Strategies and institutional investors advised by J.P. Morgan Asset Management. The financing supports a portfolio of industrial outdoor storage properties and highlights the growing institutional interest in the sector.
The financings are backed by a portfolio of 77 properties across 12 high-barrier-to-entry markets, including Northern New Jersey, Miami, and Washington, D.C. The assets are leased to tenants across industries such as equipment rental, infrastructure, and e-commerce, demonstrating the flexibility and strong demand characteristics of industrial outdoor storage properties located in dense urban markets.
Catalyst said the transaction underscores the continued institutionalization of the industrial outdoor storage sector and validates the firm’s investment strategy. Founded in 2021 by Max Heiden and Dan Haroun, Catalyst focuses exclusively on acquiring and operating low-coverage industrial outdoor storage assets. The firm’s portfolio currently spans more than 150 properties and over $1 billion in assets under management, with plans to reach 250 sites by 2027. The financing follows the oversubscribed closing of Catalyst’s third industrial outdoor storage fund, which raised $400 million in capital commitments earlier this year.
Blackstone Real Estate Debt Strategies Co-Head of Americas Private Investments Tony LaBarbera said the sector benefits from limited new supply and strong demand drivers, making it an attractive area for lending activity.
KEY QUOTES:
“This significant milestone demonstrates the continued institutionalization of the IOS space as market leading lenders find value in the sector. We are grateful for the support and partnership of the J.P. Morgan Asset Management and Blackstone teams. This financing reflects the quality of the portfolio and Catalyst’s extensive experience and focus on its sector-leading IOS investment management platform.”
Dan Haroun, Co-Founder And Partner, Catalyst Investment Partners
“Our early entry into the IOS sector, deep market knowledge, and proprietary data has enabled us to identify a deep opportunity set of small, flexible, low-coverage IOS properties that are situated in dense urban areas where the supply of IOS is fixed or declining, creating irreplaceable assets for occupiers and investors. This financing is further confirmation of the increasing demand among institutional capital for ‘sharpshooter’ specialists with the ability to execute in the IOS sector and deliver compelling risk-adjusted returns at scale.”
Max Heiden, Co-Founder And Partner, Catalyst Investment Partners
“We are excited to partner with Catalyst, a strong operator with a proven track record in the IOS sector. IOS benefits from structurally limited new supply and robust demand drivers, and we continue to be an active lender in the sector.”
Tony LaBarbera, Co-Head Of Americas Private Investments, Blackstone Real Estate Debt Strategies
