Clarion Partners Real Estate Income Fund Inc. (CPREX) has announced the acquisition of Regional Airport Center II, an 81,762-square-foot industrial building located in Orlando, FL. This property is fully leased to 11 tenants, enhancing CPREX's already substantial footprint in the industrial sector.
Clarion Partners, recognized as the third-largest owner of industrial real estate in the U.S., has been a key player in the industrial and logistics sector for over two decades. With this acquisition, the total industrial space owned by CPREX investors now exceeds 33% of the Fund, contributing to Clarion's expansive U.S. industrial portfolio of approximately 256 million square feet.
Managing Director Brent Jenkins noted, "The purchase of Regional Airport Center II, well-located approximately five miles west of the Orlando International Airport in the Southeast Orange County submarket, brings Clarion's overall industrial investment in the broader Orlando market to 29 buildings and over five million square feet." Jenkins also mentioned that Clarion has nearly three million square feet of industrial projects in its development pipeline in the Orlando area.
Clarion Partners operates as part of Franklin Templeton’s alternatives business, which includes a diverse range of strategies such as real estate, private credit, hedge funds, and secondary private equity. As of June 30, 2024, Franklin Templeton manages approximately $255 billion in assets. Clarion Partners serves as CPREX's sub-adviser, while Franklin Templeton, through various entities, acts as the adviser, administrator, and distributor of the Fund.
Ali Winrow, a product specialist, stated, "CPREX’s overarching goal is to provide individual investors access to Clarion’s longstanding institutional platform through a simple, accessible, and transparent structure registered under the Investment Company Act of 1940, as amended." Winrow highlighted that positive net investor inflows over the past 18 months have bolstered the Fund's liquidity, enabling new equity and debt investments.
CPREX also maintains a daily valuation policy, backed by third-party appraisals, ensuring that the stock price reflects the underlying value of each asset. This rigorous valuation process is aimed at providing investors with a transparent and accurate representation of their investments.
For those interested in further insights into Clarion Partners' strategic approach to the industrial sector, additional information can be found in their latest whitepaper and the Clarion Calls Market Insights video.
