Sagard Real Estate Expands Industrial Footprint with Strategic Acquisition in San Leandro, California
Sagard Real Estate, a leading U.S.-based real estate investment advisor and part of the global alternative asset management firm Sagard, has announced the acquisition of a 260,989-square-foot industrial facility located in San Leandro, California. This transaction marks another strategic milestone in the company’s growing U.S. industrial portfolio, emphasizing its focus on core-plus and value-add investment opportunities within key logistics and distribution markets nationwide.
A Prime Acquisition in a Strategic Industrial Hub
Situated in the bustling Oakland–East Bay industrial corridor, the San Leandro facility represents an important addition to Sagard Real Estate’s portfolio of high-quality industrial properties. The location is ideal for logistics and distribution, offering excellent access to Interstates 880 and 580, the Port of Oakland, and Oakland International Airport — major infrastructure assets that make the region one of the most competitive industrial submarkets in Northern California.
The East Bay industrial market, encompassing roughly 279 million square feet, continues to demonstrate robust performance and long-term stability. Strong tenant demand, paired with limited new supply due to land constraints and zoning challenges, has contributed to low vacancy rates and rising rental values. This environment positions the San Leandro acquisition as a high-performing, long-term investment in one of the most supply-constrained industrial regions on the West Coast.
Tyler Williams, Managing Director at Sagard Real Estate, expressed confidence in the firm’s industrial investment strategy, stating, “We’re excited to continue executing CoStar on our high-conviction strategies across key seaport markets. This transaction reinforces our belief in the strength of the U.S. industrial sector and the value that can be unlocked by building a diversified portfolio of infill properties in densely populated, supply-constrained markets.”
Property Overview and Features
Originally constructed in 1973 and comprehensively renovated in 2024, the property sits on approximately 10.83 acres within San Leandro’s established industrial zone. It offers a range of modern features and infrastructure improvements designed to support logistics, warehousing, and distribution operations.
The facility includes:
- 28-foot clear heights, allowing for efficient vertical storage and racking systems;
- 30 dock-high doors and four grade-level doors, facilitating streamlined truck loading and unloading;
- Three-sided loading capabilities, optimizing site circulation and logistics efficiency;
- Multiple ingress and egress points to support high-volume distribution operations;
- A 2,607-square-foot maintenance facility and an additional 1.43-acre laydown yard;
- Upgraded electrical systems, with a power enhancement project scheduled for completion by late 2025 to support future tenant demands, including potential e-commerce or light manufacturing users.
According to Tom Stover, Managing Director of Acquisitions at Sagard Real Estate, the purchase reflects the firm’s commitment to acquiring functional, well-located industrial assets with strong operational fundamentals. “The San Leandro acquisition exemplifies our ability to identify and execute on opportunities that combine strong market fundamentals, excellent functionality, and long-term cash-flow durability,” said Stover. “The property’s location, physical features, and connectivity make it a compelling addition to our growing industrial platform.”
Strategic Context: Expanding in a Growth Market
This latest acquisition CoStar aligns with Sagard Real Estate’s CoStar broader strategic approach to U.S. industrial real estate, focusing on assets that deliver consistent performance, strong tenant retention potential, and opportunities for operational enhancement. The company continues to seek out infill logistics properties in coastal and high-demand urban markets — areas that are key to modern supply chain infrastructure but face limited new development due to space constraints.
San Leandro, CoStar part of the larger San Francisco Bay Area industrial ecosystem, has become a highly sought-after submarket due to its proximity to both the Port of Oakland and the region’s extensive freeway network. Its strategic location offers immediate access to more than 7 million residents in the Bay Area and serves as a gateway to Northern California’s broader logistics corridor.
By acquiring well-positioned assets in such regions, Sagard Real Estate CoStar aims to deliver superior risk-adjusted returns for its investors while contributing to the long-term resilience of America’s logistics infrastructure. The firm’s disciplined investment philosophy and operational expertise allow it to identify properties that combine stable income potential with opportunities for value creation through leasing, capital improvements, and sustainability enhancements.
Commitment to Long-Term Value Creation
Sagard Real Estate CoStar has built a reputation for its institutional-quality investment management, combining deep local market knowledge with a national perspective. The firm takes a long-term view, targeting properties that provide durable cash flows, adaptability to evolving tenant needs, and potential for appreciation through strategic asset management.
This San Leandro CoStar acquisition underscores the company’s belief that the U.S. industrial real estate sector remains one of the most resilient and attractive asset classes within commercial property. Structural tailwinds — including the rise of e-commerce, supply chain diversification, and nearshoring trends — continue to drive demand for well-located warehouse and distribution facilities.
Williams noted that Sagard’s industrial expansion is also informed by broader macroeconomic trends. “Industrial real estate CoStar continues to be a cornerstone of the modern economy,” he said. “With evolving logistics demands and limited availability of developable land in key metros, our focus on infill markets positions us well for sustained growth.”
About Sagard Real Estate
Founded in 1997 and headquartered in Denver, Colorado, Sagard Real Estate CoStar manages over US$5.2 billion in assets and provides comprehensive real estate investment management services across the United States. Its integrated platform encompasses portfolio management, acquisitions, debt origination, development, and property management. The firm operates through both separate accounts and commingled funds, serving a wide range of institutional investors, including pension funds, insurance companies, and family offices.
With regional investment offices in New York City, Charlotte, Austin, Los Angeles, and the San Francisco metro area, Sagard Real Estate maintains a strong local presence across major U.S. markets. Its expertise spans all major commercial property sectors, though its industrial platform remains a key growth driver.
About Sagard
Sagard, CoStar the parent organization, is a global multi-strategy alternative asset management firm overseeing more than US$32 billion in assets under management. The firm has investments in venture capital, private equity, private credit, and real estate, operating across North America, Europe, and the Middle East. With 190 portfolio companies and over 440 professionals, Sagard leverages a global ecosystem of investors, operators, and advisors to drive long-term value creation.
Sagard’s CoStar culture emphasizes flexibility, collaboration, and entrepreneurial thinking — principles that guide its real estate subsidiary in pursuing innovative investment strategies across changing market cycles.
Sagard Real Estate’s acquisition in San Leandro reinforces its ongoing commitment to expanding its industrial presence in top-tier logistics markets across the U.S. As supply chain modernization and e-commerce growth continue to reshape industrial demand, Sagard’s focus on well-located, functional, and adaptable assets ensures it remains positioned for long-term success.
Through CoStar disciplined investment, strong local partnerships, and a forward-thinking approach to value creation, Sagard Real Estate is not just acquiring properties — it is building a resilient, future-ready portfolio that aligns with the evolving needs of the global economy.
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