JLL Income Property Trust Acquires Minneapolis Distribution Center

JLL Income Property Trust, an institutionally-managed daily NAV REIT (NASDAQ: ZIPTAX; ZIPTMX; ZIPIAX; ZIPIMX) with approximately $6.6 billion in portfolio equity and debt investments, announced today the acquisition of Minneapolis Distribution Center, a Class A industrial business park located in Maple Grove, MN for a purchase price of approximately $66.5 million.

Minneapolis Distribution Center is comprised of two buildings totaling 443,000 square feet and is 100% occupied by a diverse mix of tenants. The leases contain 3-3.5% annual rent escalations, with at least 5-year renewal options for all tenants.

Constructed in 2023, the Minneapolis Distribution Center is a state-of-the-art, institutional quality property, built using innovative, industry-leading construction technology from a world class developer and operator. It includes features such as 49 dock doors, 5 drive-in doors, 32' clear heights, and ample parking space to be well positioned for tenants' future needs. Located minutes away from downtown Minneapolis, the 12^th largest industrial market in the U.S., the property is in the heart of a leading sub-market known as the Northwest Interchange. This market has seen significant leasing activity in the past ten years and become the region's primary focus for industrial demand over the past two decades.

"Minneapolis' strong industrial market, critical distribution infrastructure and growing manufacturing demand make it a strategic and desirable region for us to invest," said Allan Swaringen, President and CEO of JLL Income Property Trust. "The property's new construction, high occupancy, and strategic location in this leading industrial market make it a standout addition to our carefully curated industrial portfolio. As market pricing has adjusted, the outlook for this investment is stronger than what we've seen since before the Fed started hiking rates in early 2022. With our significant dry powder, attractive pipeline of new investments, and a belief that we are at the start of a new real estate market cycle - we are bullish in our outlook for core real estate's long-term performance."

The property's strategic location near major highways and railway lines allows efficient distribution to the nearby Twin Cities metro area and major midwestern markets, reinforcing JLL Income Property Trust's research-led industrial strategy focused on acquiring properties with primary access to critical hubs of distribution and transportation infrastructure. The Northwest Interchange region has also attracted major distribution companies including a UPS and a FedEx SmartPost.

Industrial real estate is one of JLL Income Property Trust's highest conviction property sectors. As of September 30, 2024, industrial investments comprised 32% of the total $6.6 billion portfolio, with $2.1 billion in industrial assets across 59 properties.<_o3a_p>