EQT Real Estate Sells 4.4 Million-Square-Foot Midwest Logistics Portfolio in $400 Million Deal
EQT Real Estate Real Estate has completed the sale of a 20-property logistics portfolio totaling approximately 4.4 million square feet across six Midwest markets, with the transaction clearing at roughly $400 million. The portfolio, assembled by EQT Real Estate beginning in 2020, spans St. Louis, Cincinnati, Columbus, Dayton, Cleveland and Louisville — markets that collectively place tenants within a day's drive of nearly half of the U.S. population.
John Huguenard, Trent Agnew and Will McCormack of JLL advised EQT Real Estate on the disposition. The buyer was not identified in the announcement.
Portfolio Overview and Asset Profile
The 20-asset portfolio was approximately 94% leased at the time of sale, comprising a mix of modern bulk distribution centers and infill light industrial buildings. Buildings feature cross-dock and rear-load configurations, average clear heights of approximately 30 feet, and ample truck courts — specifications that allow the assets to serve a broad range of occupier requirements.
Tenants across the portfolio span the e-commerce, third-party logistics, distribution and light manufacturing sectors. The six markets were selected for their deep labor pools and balanced supply and demand conditions, which EQT Real Estate said underpins steady tenant demand for functional logistics space.
The transaction was executed through EQT Real Estate Industrial Value Fund V.
Value-Add Strategy and Hold Period Activity
EQT Real Estate began assembling the portfolio in 2020, and during the hold period its local teams completed capital projects that included building expansions, renovations and roof replacements, in addition to leasing activity across the assets. The firm characterized the approach as consistent with its value creation strategy, with the goal of delivering a stabilized portfolio of institutional scale and quality.
Matthew Brodnik, Global Chief Investment Officer at EQT Real Estate, described the rationale behind the portfolio's construction and the timing of the exit. "Functional buildings in the right Midwest submarkets serve some of the most durable logistics demand in the country, anchored by labor, highway access and proximity to end customers," Brodnik said. "Our teams knew these assets and their submarkets building by building, and that familiarity shaped how we acquired, leased and improved the portfolio throughout our ownership. This sale is a natural conclusion to that work."
Market Context: Midwest Industrial Fundamentals
The transaction comes as Midwest industrial fundamentals have shown signs of stabilization. Midwest industrial leasing activity reached 58.0 million square feet in the second quarter of 2026, with 70% of that volume representing new leasing. Vacancy in the region edged down from 5.1% to 5.0% quarter-over-quarter during the same period.
Nationally, U.S. industrial vacancy fell to 6.5% in the second quarter of 2026, marking the first quarterly decline since 2022, as the market absorbed the wave of new supply delivered during the post-pandemic construction cycle. Stabilized Class A logistics cap rates in primary Midwest markets have been running in the range of approximately 5.5% to 6.0%, with higher yields for value-add or Class B assets, reflecting a selective but active buyer market for scale logistics packages.
The EQT Real Estate sale reflects a broader pattern of portfolio-level logistics trades in 2026 as institutional capital has re-engaged with industrial real estate following the post-pandemic leasing reset. EQT Real Estate has been active on both sides of the market, having completed a 25-property, 4.3 million-square-foot acquisition in March 2026 and a separate 7.3 million-square-foot sale in the same period, illustrating ongoing portfolio recycling within the sector.
About EQT Real Estate
EQT Real Estate acquires, develops, leases and manages logistics and residential properties across the Americas, Europe and Asia. The platform manages approximately $59 billion in gross asset value, owns and operates more than 2,000 properties totaling over 450 million square feet, and employs more than 400 professionals across 50 locations globally. EQT, the parent organization, reported total assets under management of EUR 291 billion as of June 30, 2026.