Outpost Acquires Kearny and Newark IOS Portfolio for $68.5M With $52.2M Forbright Bank Loan

Outpost has acquired a two-property industrial outdoor storage (IOS) portfolio in Kearny and Newark, New Jersey, for $68.5 million, with JLL arranging both the sale and $52.2 million in acquisition financing from Forbright Bank, the firms announced Nov. 3.

The 14.97-acre Kearny & Newark IOS Portfolio comprises 76 Central Avenue in Kearny and 2120 McCarter Highway in Newark, both in Hudson County. JLL said it worked on behalf of Outpost, the borrower, to secure a bridge loan through Forbright Bank. The $52.2 million loan equals roughly 76.2% of the purchase price, implying about $16.3 million in equity before closing costs and other adjustments.

Portfolio Details: Kearny and Newark IOS Properties

The Kearny asset at 76 Central Avenue spans 8.04 acres and includes approximately 4,000 square feet of improvements, including office space and a maintenance bay. Outpost said the yard is available for lease now and can be divided for multiple users. The site has spaces for 234 containers, 66 trailers, 28 tractors and 54 cars on a paved and asphalt millings surface. It is fenced and lit, 1 mile from New Jersey Turnpike Interchange 15E and 2.5 miles from Port Newark-Elizabeth.

The Newark property at 2120 McCarter Highway encompasses 6.93 acres and operates as a trailer storage and parking facility with 163 stalls for 55-foot trailers. It is paved, fenced and lit, and sits 2.3 miles from Interstate 280, 3 miles from the New Jersey Turnpike and 5.2 miles from Newark Liberty International Airport (EWR). Outpost negotiated a new lease ahead of closing, and the yard is now fully occupied by a Fortune 100 e-commerce and logistics company.

The $68.5 million price works out to approximately $4.58 million per acre across the portfolio.

Location Near Port Newark-Elizabeth and Major Highways

The properties sit near the intersection of Interstates 95, 78 and 280, Route 3 and Route 21, and close to the Port Newark-Elizabeth Marine Terminal and Newark Liberty International Airport. JLL said the location provides access to Northern New Jersey and New York City population centers and supports a tenant base that includes transportation, logistics, equipment rental, construction and industrial service businesses.

Following the acquisition, Outpost plans to implement site improvements including paving, lighting, security and access enhancements intended to improve the functionality and competitiveness of both assets.

Outpost Strategy: Stabilized Asset Paired With Value-Add

The Newark lease provides income from the first day of ownership, while Kearny offers an immediate lease-up and value-add opportunity. "Outpost is building the infrastructure that powers the first and final mile of freight," said Greg Pearson, Chief Investment Officer at Outpost. "The Kearny and Newark properties are irreplaceable logistics assets in one of the nation's most supply-constrained infill markets. Pairing a stabilized, fully leased asset with an immediate value-add opportunity demonstrates both sides of our investment platform as we continue deploying capital nationwide."

Chenying Zhao, Managing Director at Outpost, said the company is committed to Port Newark-Elizabeth and the broader Northern New Jersey market for the long term. "Sites like Kearny and Newark are increasingly scarce, while demand for large, functional, properly zoned logistics facilities continues to grow," Zhao said. "That's why we're aggressively deploying capital to acquire low-coverage yards, truck terminals, transload facilities, and cross-docks across the region."

The acquisition is part of Outpost's ongoing $1 billion deployment into low-coverage industrial real estate in top freight markets. The company has previously made other Newark acquisitions, including a seven-acre purchase and a 12.65-acre acquisition at 873-915 Delancy Street, less than a mile from Port Newark Container Terminal.

JLL Advisory Team and Financing

JLL's transaction advisory team included Managing Directors Jason Lundy and Nick Stefans and Senior Analyst Luke Ceccoli from JLL's Capital Markets group, along with Vice Chairman Dean Brody from JLL's Brokerage group. Senior Managing Director Michael Klein, Senior Director Max Custer and Senior Analyst Michael Donohoe represented Outpost in securing the acquisition financing from Forbright Bank.

"Infill, industrial outdoor storage assets continue to attract institutional capital demand given the supply and demand imbalances," said Lundy. "This portfolio represents the quality and location of assets that outperform their competitive set."

Brody said the portfolio "is a strategic acquisition for Outpost and underscores their ability to aggregate infrastructure-driven, outdoor storage assets that are essential to the supply-chain." Custer said, "The financing reflects the strong lender confidence in both Outpost's operational expertise as well as the resilient fundamentals of strategically positioned outdoor storage assets in Northern New Jersey."

Market Context: Supply Constraints in Northern New Jersey IOS

JLL described the portfolio as part of an infill industrial market with limited land available for outdoor storage development, citing high barriers to entry, redevelopment of existing industrial sites and zoning constraints. Sites must combine industrial zoning, truck circulation, usable yard area and proximity to highways, ports and population centers, and port-oriented properties must be permitted for container stacking and storage, making zoning a central determinant of value.

Newmark research found that national IOS rents rose 123% from 2020 through September 2025, more than twice the growth rate of bulk warehouses, while IOS vacancy was roughly half that of bulk warehouse space. In Northern New Jersey, five-year rent growth for IOS and bulk warehouse space was approximately 110% for both. The buyer pool for New Jersey IOS has broadened from local trucking and logistics owners to value-add investors and, increasingly, core and core-plus buyers seeking stable leases and durable locations. The wider Northern New Jersey industrial market has remained relatively balanced, with stable vacancy, positive absorption through the third quarter and a tempered construction pipeline.

About the Companies

Outpost owns and operates a national network of logistics real estate, including low-coverage storage and service yards, truck terminals, transload facilities and cross-docks, and develops Outpost Gate Automation, an AI gate platform. The company is backed by a $1 billion infrastructure platform. Forbright Bank, headquartered in Chevy Chase, Maryland, offers nationwide middle-market lending, digital consumer banking, strategic advisory and asset management services. JLL (NYSE: JLL) is a global commercial real estate services and investment management company.

Sources

• JLL: https://www.jll.com/en-us/newsroom/jll-service-lines-combine-to-advise-on-the-ios-portfolio
• Outpost: https://outpost.us/news/outpost-acquires-two-low-coverage-industrial-properties-near-port-newark-elizabeth/