An affiliate of EQT Real Estate has entered into a definitive agreement to purchase a Southern California industrial portfolio from Rexford Industrial Realty for approximately $1.2 billion. The transaction is expected to close at the end of the third quarter.
The portfolio consists of 22 properties and is expected to close on September 30, according to a Rexford SEC filing, though specific properties were not identified. This sale comes as Rexford is undergoing a portfolio realignment.
A larger disposition strategy
In July 2026, Rexford said it would sell $2 billion of identified non-core assets after increasing its full-year target from $400-$500 million to $1.5-$2 billion. The wider portfolio realignment generally includes assets that have shorter leases remaining, above-market rents and elevated competitive supply.
During the second quarter, the company disposed of seven properties totaling 571,708 square feet, with year-to-date dispositions reaching 12 properties totaling 886,401 square feet for an aggregate sales price of $265.3 million, according to its second-quarter earnings report.
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In April, Rexford Industrial sold a 12.1-acre industrial site in Anaheim, Calif., to Western Realco for $40.7 million. The new owners are developing a 256,046-square-foot Class A industrial building on the grounds.
Including this $1.2 billion portfolio sale, Rexford has approximately $1.5 billion in transactions closed or under contract for the year. The proceeds from the sale are planned to be used to repay debt maturing in 2027, support potential common stock repurchases and fund internal repositioning and development projects.
Big purchases for EQT
The agreement between EQT and Rexford comes as EQT has made multiple significant industrial investments in 2026. In March, EQT Real Estate’s Logistics Value Fund VI purchased a 2 million-square-foot industrial park in Southern New Jersey totaling nine assets. An affiliate of New York Life Investment Management sold the portfolio.
That same month, Mapletree Investments sold a 4.4 million-square-foot portfolio across 25 assets to EQT as the seller was divesting U.S. industrial assets. The sale totaled $575 million, with properties located in Connecticut, Florida, Georgia, New Jersey, North Carolina, Pennsylvania, Tennessee, Virginia and Washington, D.C.