Bridge Logistics Properties Acquires 744,512 SF Across Fremont and Stockton in Dual Northern California Industrial Play

Bridge Logistics Properties has acquired two fully leased industrial assets in Northern California totaling 744,512 square feet, the firm announced Sept. 14, 2026. The transactions — one along the I-880 corridor in Fremont and one in Stockton's Central Valley logistics submarket — were brokered by Colliers and reflect the firm's view that AI-driven advanced manufacturing demand and cost-driven logistics migration are reshaping industrial fundamentals across the region.

Two Assets, One Northern California Strategy

The Fremont acquisition, 45101-45169 Industrial Drive, is a 198,676-square-foot multi-building industrial facility fully leased to Quanta Manufacturing and Stericycle. Quanta Manufacturing occupies approximately 90% of the property, with Stericycle occupying the balance. The asset is characterized as a functional, second-generation industrial facility rather than new Class A product, and was 100% occupied at closing.

The Stockton acquisition, 1919 Boeing Way, is a 545,836-square-foot cross-dock distribution facility fully leased to UNFI (United Natural Foods Inc.) and Dollar Tree. The property's cross-dock design — featuring large truck court depths and multiple dock doors suited to high-velocity logistics — positions it for regional and multi-state distribution operations. Like the Fremont asset, it was fully occupied at the time of acquisition.

Mike Kendall, Nick Mascheroni and Greig Lagomarsino of Colliers represented the Fremont transaction. Mike Kendall, Nick Mascheroni and Mike Goldstein of Colliers represented the Stockton transaction.

I-880 Corridor: AI and Advanced Manufacturing Compress Fremont Supply

Bridge Logistics Properties is targeting second-generation industrial assets along the I-880 corridor as AI, advanced manufacturing, and technology growth absorb available Class A supply in Fremont and San Jose. Fremont vacancy fell to approximately 2% in the second quarter of 2026, with Class A vacancy below 1%. The firm notes that Class A-to-B rent and valuation spreads have widened to approximately 40%, compared with a more typical historical range of 15% to 20%.

"The availability of high-quality, functional industrial product in Fremont and San Jose has compressed dramatically," said Paul Jones, Managing Director at BLP. "Advanced manufacturing and technology companies want to be in those markets, but there simply isn't enough Class A supply. That is pushing demand into second-generation properties and farther north along I-880."

The firm's thesis is that as advanced manufacturing and technology users increasingly compete for functional second-generation space, the spread between Class A and Class B rents and valuations will compress toward historical norms, creating a relative value opportunity in well-located older product. Positive net absorption across Northern California's broader industrial market — approximately 473,913 square feet in the first quarter of 2026 — reflects the broad-based demand underpinning that view.

Central Valley: Logistics Demand Migrates Inland

The Stockton acquisition targets the downstream effect of I-880 tightening. Rising occupancy costs along the Bay Area corridor are pushing traditional trucking, distribution, and third-party logistics users east into the Central Valley, where occupancy savings are available relative to coastal markets. Central Valley vacancy has declined approximately 200 basis points year-over-year, with significant leasing activity concentrated in blocks exceeding 250,000 square feet. San Joaquin County, which includes Stockton, recorded positive absorption of approximately 868,953 square feet in the first quarter of 2026, with vacancy declining from roughly 12.1% to approximately 8.2%.

A constrained construction pipeline — the result of interest-rate reversion limiting new development — is further restricting new supply in the submarket, tightening fundamentals for existing assets.

"These acquisitions reflect two sides of the same Northern California supply dynamic," said Sean Andrews, Vice President of Investments at BLP. "In Fremont, we're investing directly into demand from advanced manufacturing and technology users competing for scarce functional space. In Stockton, we're investing in the downstream effect, as traditional logistics users move east in search of availability and lower occupancy costs."

About Bridge Logistics Properties and Bridge Investment Group

Bridge Logistics Properties is a vertically integrated logistics real estate investment manager and a subsidiary of Bridge Investment Group Holdings LLC. Founded in 2021, the firm operates across five offices in New Jersey, Atlanta, Miami, Dallas, and Los Angeles, targeting coastal and gateway industrial markets in the United States. Bridge Investment Group is an affiliate of Apollo Global Management, Inc. (NYSE: APO).

"We see one interconnected Northern California industrial market," said Jones. "We're investing in AI and technology-driven demand along I-880 while also positioning in the Central Valley as logistics demand migrates inland. Our strategy is to follow where we believe demand is being created, where it is being displaced, and where supply cannot keep pace."

Sources

Bridge Logistics Properties — BLP Targets Northern California's Shifting Industrial Demand (Sept. 14, 2026)