Morgan Stanley Investment Management, through its real estate investment arm Morgan Stanley Real Estate Investing (MSREI), has acquired an industrial outdoor storage facility in Southern California for about $92 million. The property is under a long-term absolute triple net lease with Oldcastle Infrastructure, a subsidiary of CRH plc.
Will Milam, Head of U.S. Investments at MSREI, commented on the acquisition: “This acquisition exemplifies MSREI’s strategy of sourcing and securing institutional-quality net lease investments in core logistics markets. The IOS facility is a mission-critical asset for Oldcastle and a cornerstone for regional infrastructure supply. We are excited to partner with them to support their long-term operational needs in Southern California.”
The 26-acre parcel is located in Fontana’s Southwest Industrial Park and is described as unique due to its size and the lack of similar properties available in the region. Oldcastle has operated at this site for more than three decades.
Lauren Hochfelder, Co-CEO of Morgan Stanley Real Estate Investing, said: “By shifting property expenses, taxes, and maintenance obligations to the tenant, net lease structures mitigate real estate owners’ exposure to volatility and unexpected costs, making net lease cash flows among the most predictable in real estate. Beyond the benefits of net lease, we expect U.S. industrial to benefit from the continued supply chain realignment, including increased onshoring of manufacturing.”
MSREI manages $54 billion in gross real estate assets globally and operates with teams across 17 offices worldwide. Morgan Stanley Investment Management oversees approximately $1.8 trillion in assets as of September 30, 2025.
For more information about Morgan Stanley Investment Management’s services and global presence, visit www.morganstanley.com/im.