Bridge Logistics Properties Acquires Four-Building, 3.2M-Square-Foot Warehouse Portfolio Across Texas and California

Bridge Logistics Properties acquired a four-building industrial portfolio totaling approximately 3.2 million square feet across Texas and California during the second quarter of 2026, the firm announced, adding fully leased logistics assets in supply-constrained markets as national industrial fundamentals continue to tighten.

All four transactions were sourced off-market, either through long-standing broker relationships or following the collapse of separate marketing processes, according to the firm's Q2 2026 bulletin. The portfolio spans two states and includes stabilized income-producing assets as well as a large entitled development site in Southern California's Inland Empire.

Texas Acquisition: Twinwood Distribution Center III

In its largest Texas acquisition since the platform's launch, Bridge Logistics Properties purchased Twinwood Distribution Center III, a 767,520-square-foot Class A cross-dock distribution facility at 2193 Discovery Hills Parkway in Brookshire, Texas. The building was completed in 2024 and sits within the Uplands Twinwood Business Park south of Brookshire, near Interstate 10.

The facility features 40-foot clear heights, an ESFR sprinkler system, 179 dock-high doors, four drive-in doors, 180-foot truck courts, future trailer parking capacity, and 50-foot-by-52-foot column spacing with 60-foot speed bays. The property is 100% leased to a national industrial manufacturer through spring 2028 and was acquired off-market following a broken marketing process.

The firm described the asset as positioned within the Texas Triangle, in one of Houston's premier logistics corridors, with direct access to the Port of Houston and Interstate 35. Houston's industrial market recorded overall vacancy of 7.5% in the first quarter of 2026, with warehouse and distribution vacancy at 7.9% and availability at 10.3%.

California Acquisitions: Inland Empire Distribution and Development

Bridge Logistics Properties also closed on three California assets during the quarter, two stabilized distribution buildings and one entitled development site, all located within the Inland Empire.

The firm acquired a 133,115-square-foot Class A distribution facility at 10740 Banana Ave. in Fontana, California, for $30.1 million, or approximately $226 per square foot. The building, constructed in 2020, is 100% leased to a third-party logistics company through 2028. It features 32-foot clear height, 18 dock-high doors, a secured 135-foot concrete truck court, approximately 6,000 square feet of office space, ESFR sprinklers, and full drive-around access. The property sits at the intersection of Interstate 10 and Interstate 15, providing access to more than 14 million people within a 50-mile radius.

Bridge Logistics Properties characterized the Fontana acquisition as below today's replacement cost. The deal was sourced off-market following the collapse of a broader portfolio transaction. The firm noted that new development in the 100,000-to-150,000-square-foot size range within Inland Empire West has effectively stalled due to rising construction costs, municipal resistance, and regulatory constraints including California's AB 98.

The third California acquisition was an 806,322-square-foot Class A distribution facility at 6227 Cajon Blvd. in San Bernardino. The building features 36-foot clear height, 137 dock-high doors, 185-foot truck courts, an ESFR sprinkler system, and 262 trailer stalls. It is 100% leased to a publicly traded national retailer. The property is positioned at the convergence of Interstates 210, 215, and 10, enabling multiple daily round trips to the Port of Los Angeles and Port of Long Beach. The deal was sourced off-market through direct seller relationships.

The fourth acquisition was an approximately 68-acre fully entitled site at the intersection of Highway 60 and Wallace Street in Jurupa Valley, California, within "The District," a 245-acre master-planned community. The site is entitled for a 1.5 million-square-foot cross-dock facility and will feature 42-foot clear height, 195-to-250-foot truck courts, 196 dock-high doors, 542 trailer stalls, and immediate freeway access to the 60, 91, and 15 corridors. Bridge Logistics Properties plans to develop the site on a speculative basis.

Inland Empire Market Context

Bridge Logistics Properties cited what it described as a "big box scarcity thesis" as a driver behind both the San Bernardino and Jurupa Valley acquisitions. The Inland Empire's construction pipeline has declined 65% to just 0.9% of existing inventory, constrained by land scarcity, municipal resistance, and AB 98 regulatory hurdles, according to the firm's bulletin. Inland Empire direct vacancy stood at 7.6% in the second quarter of 2026, with total vacancy at 8.6% to 8.8% depending on methodology.

A separate Inland Empire market report placed average industrial sale pricing at $191.56 per square foot with a 6.0% average cap rate in the second quarter of 2026, providing context for the Fontana acquisition's $226-per-square-foot pricing.

Industrial Market Backdrop and Development Pipeline

Bridge Logistics Properties' acquisitions come as national industrial fundamentals show signs of tightening after a period of elevated vacancy. The firm's bulletin noted that gross leasing ended 2025 at 864 million square feet, 13% above the 20-year average and the fourth-best year on record, with further acceleration in the first quarter of 2026. National industrial vacancy is hovering in the mid-7% range.

On the supply side, first-quarter 2026 completions fell to their lowest level since 2018, new starts ran 28% below the decade average, and full-year deliveries are forecast to come in more than 50% below the pandemic peak, according to CoStar Analytics data cited in the bulletin. Power availability has emerged as an additional constraint, with larger projects facing one-to-two-year hook-up timelines in several markets.

Capital markets activity for industrial assets has remained active. First-quarter 2026 transaction volume jumped 72% year-over-year to $17.5 billion, while CMBS issuance increased 15% year-over-year. Bridge Logistics Properties reported that cap rates in its coastal gateway markets are in the low-5% range, roughly 50 basis points tighter than the U.S. Top 50 markets. Broader market commentary places modern Class A gateway industrial assets in a 4.75% to 5.50% cap rate band.

The firm described its current investment posture as "defensive but opportunistic," focused on basis, location, and operational execution in infill markets serving domestic consumption. Bridge Logistics Properties also noted that e-commerce, reshoring, advanced manufacturing, and data-center-related logistics demand are providing structural support for occupier activity, while trade volatility continues to influence leasing decision timelines.

Development Portfolio

Alongside its acquisition activity, Bridge Logistics Properties reported progress across seven development projects totaling approximately 4.3 million square feet. Completed projects include Aerotropolis East Logistics Center, a 229,776-square-foot Class A facility in Atlanta located within a federally approved Foreign Trade Zone two miles from Hartsfield-Jackson Atlanta International Airport; and 485 Elizabeth Avenue, a 76,230-square-foot Class A industrial facility in Somerset, New Jersey.

Projects under construction include Gateway @ 429, a 1.4 million-square-foot multi-phased logistics park with Phase 2 in progress and a projected completion in the first quarter of 2027; Southeast Crossing, a 364,529-square-foot master-planned industrial park in final inspections; Park South | GSW, a two-building, 284,865-square-foot Class A rear-load warehouse development in the Dallas-Fort Worth Metroplex completed in the fourth quarter of 2025; and North Rialto Distribution Center, a 468,563-square-foot Class A single-load building with shell construction complete and a projected delivery in the third quarter of 2026.

Sources

Bridge Logistics Properties — BLP Bulletin Q2 2026 Recap