MAG Capital Partners has completed the disposition of a six-property, triple-net-leased industrial portfolio totaling more than 1.37 million square feet. The assets, which are long-term net-leased industrial manufacturing facilities located across the Midwest, were sold in a portfolio transaction to Fundamental Income Properties, a wholly owned subsidiary of Starwood Property Trust. The portfolio traded for approximately $89 million.
The industrial properties were primarily acquired by MAG Capital Partners through its MAGCP Industrial Fund II, LP. The sale marks a realization event for the fund, which has been focused on aggregating net-leased industrial assets occupied by U.S. manufacturers. The transaction demonstrates the continued alignment between private real estate investment platforms and large institutional buyers seeking durable income streams backed by corporate tenants.
Dax T.S. Mitchell, principal and co-founder of MAG Capital Partners, noted that the firm is continuing to scale its investment platforms with a focus on providing growth capital to U.S. manufacturing companies via industrial real estate and corporate investments. He characterized the deal as an example of the strength of the middle-market manufacturing sector and pointed to the role of these operators and sponsors in supporting broader U.S. economic performance.
Mitchell also emphasized the importance of manufacturing as a driver of domestic economic activity and referenced the long-term prospects for net-lease industrial assets. His comments underscore how sale-leaseback-style capital solutions and net-lease structures can provide manufacturers with liquidity while allowing dedicated real estate investors to own and manage specialized facilities.
The portfolio consists of six industrial manufacturing properties secured under triple-net-lease structures, indicating that tenants are responsible for taxes, insurance, and maintenance in addition to base rent. The assets are located across multiple Midwestern markets, though specific cities and states were not disclosed. The long-term lease profile and manufacturing tenancy support the portfolio’s appeal to institutional net-lease buyers seeking predictable cash flows.
On the disposition side, John Dehn and Eric Wood, senior vice presidents in MAG Capital Partners’ Phoenix office, worked on the sale for the firm. Their involvement reflects the internal execution resources MAG Capital Partners brings to its industrial portfolio strategies, from fund-level acquisitions through exit.
The transaction adds to Starwood Property Trust’s exposure to industrial real estate through its subsidiary, Fundamental Income Properties, and illustrates ongoing institutional demand for net-leased industrial manufacturing assets. While detailed property-level metrics such as individual building sizes, specific tenant names, and remaining lease terms were not released, the size of the portfolio and the participation of an institutional buyer highlight the continued relevance of long-duration, net-leased industrial product within the broader commercial real estate capital markets landscape.
