Brookfield Asset Management and Canada Pension Plan Investment Board (CPP Investments) have completed their acquisition of LXP Industrial Trust in an all-cash deal.

The buyout values LXP at roughly $5.2 billion, which includes net debt and preferred equity. Under the terms of the transaction, shareholders in LXP receive $61.20 per share in cash. Following the transaction’s completion, LXP has been delisted from the New York Stock Exchange and is operating as a private company.

The acquired business holds 107 industrial sites spanning around 52 million square feet, primarily situated across high-demand markets in the US Sunbelt and Midwest. The assets display high occupancy figures alongside long-term leases that yield steady cash flows. Moving forward, the properties will join Brookfield’s existing global logistics platform, which covers more than 255 million square feet across 850 sites in 20 countries.

Lowell Baron, Chief Executive Officer of Brookfield Real Estate, said: “This acquisition reflects our conviction in the long-term fundamentals of the U.S. industrial sector. We are acquiring a portfolio of modern logistics assets at an attractive basis in markets benefiting from strong demand for large-scale distribution facilities with limited supply. Combined with durable in-place cash flows, embedded rental growth and our operating expertise, these dynamics create a compelling opportunity to drive value for our investors.”

Sophie van Oosterom, Managing Director, Head of Real Estate at CPP Investments, said: “The acquisition of LXP adds a high-quality, scaled portfolio of modern logistics properties to our diversified portfolio of U.S. real estate investments. With strong occupancy and exposure to key distribution markets, we believe LXP is well positioned to capture further value as logistics markets evolve, supporting attractive long-term returns for the CPP Fund.”

BofA Securities served as lead financial advisor to LXP, with J.P. Morgan Securities as co-financial advisor and Hogan Lovells Cadwalader US LLP providing legal advice. Citigroup Global Markets and Morgan Stanley acted as lead financial advisors to Brookfield and CPP Investments. Goldman Sachs, Santander and Scotiabank also provided financial advice, while Sumitomo Mitsui Banking Corporation served as structuring advisor. Gibson, Dunn & Crutcher and Thompson Hine acted as legal advisors to the buyers, with DLA Piper advising CPP Investments on specific matters. Dechert represented Citigroup and Morgan Stanley.