A company that bills itself as the largest player in the fast-growing U.S. industrial outdoor storage sector has landed a new loan backed by a portfolio of 64 properties across 22 states, a deal that marks Alterra IOS’ second big financing of 2025.
Alterra on Wednesday announced it borrowed $343.6 million from Truist Financial and Bank of Montreal to replace maturing debt. That follows a $189 million loan in February from Blackstone Mortgage Trust to finance recently purchased properties.
The latest loan was executed on behalf of Alterra IOS Venture II, a closed-end fund with $524 million of equity commitments, Alterra said in a statement.
The loan backs properties with a combined 580 acres in top logistics markets including Atlanta, Houston, Chicago, Northern California and Dallas-Fort Worth, according to the statement.
Alterra’s new financing deal is the latest example of industrial outdoor storage, a once-obscure niche in the broader industrial property sector, attracting new investors and lenders in recent years.
Facilities typically have acres of land and a relatively small building for offices and indoor storage. Tenants use the outdoor space to store vehicles, trailers, containers and building materials, often near major expressways, airports, railroads and ports.
“This commitment underscores institutional lenders’ growing confidence in the underlying fundamentals of the IOS asset class,” Alterra’s chief financial officer, Scott Whittle, said in the statement.
Alterra says it is the largest owner of such properties in the country, having acquired more than 350 properties in 37 states.
Philadelphia-based Alterra made a splash in late 2024 with the $490 million sale of a 14-state portfolio to Peakstone Realty Trust.
Soon after that sale, Alterra announced the purchase of properties in the Dallas, Chicago, Minneapolis, Indianapolis, Nashville, Tennessee, Cleveland and St. Louis markets that are leased to the same tenant.
Early this year, Blackstone Mortgage Trust originated a $189 million loan that Alterra used to finance newly acquired properties across 22 states.
Investors including Manulife Investment Management and TPG Angelo Gordon also have been pouring dollars into industrial outdoor storage.
For the record
The loan was arranged by Chad Orcutt of JLL Capital Markets.