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Fund
IV
Industrial Value
Overview For Prospective Investors
March 2025
© 2025 Faropoint. All Rights Reserved.
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Executive Summary
The Faropoint
Platform
Faropoint | Organizational Structure
Investment Engineering
A team of 30 tech-enabled, real estate savvy, researchers and analysts who leverage mass data pools to engineer investment strategies and tools
Investment Control Center
A team of 30 senior acquisition, asset management and finance professionals who guide the investment teams on the ground to drive scale and efficiencies
Investment Engine
40 investment professionals on the ground and 400 broker partners who drive over $40B of annual deal flow into Faropoint’s pipeline software (6)
Faropoint | Management Team
20+
Research & Development Professionals
50+
Acquisition & Asset Management Professionals
30+
Corporate, Finance & IR Professionals
Track Record
Faropoint has beenthe most active urban logistics aggregator over the last 5 years in the US
Faropoint | Value Add Fund Series
Delivering returns through tech-enabled aggregation of last-mile industrial assets
Actual / Target
Logistic
Fund I
2018
4 Years
Realized
$141M
($6M)
$515M
121
7.3M
36.2% / 28.0%
Logistic
Fund II
2021
7 Years
Fully Deployed
$500M
$1.35B
204
11.7M
14.3% / 12.0%
Track Record | Value Fund Series Benchmarking
Faropoint Funds consistently perform in the top quartile of its peer Funds by vintage
2018
50.9%
20.2%
13.8%
10.6%
-7.7%
28.0% Fund I
Net IRR
30 Constituent Funds
2021
13.1%
8.6%
-1.6%
-13.3%
-59.3%
12.0% Fund II
Net IRR
20 Constituent Funds
2022
26.7%
2.2%
-7.1%
-17.8%
-34.3%
15.2% Fund III
Net IRR
28 Constituent Funds
Market Overview
Market Overview | Supply Chain Architecture
Fulfillment
BULK
Fulfillment / Gateway DC
• Big Box – 200,000 SF and higher
• Located on the outskirts of cities
Sorting
LARGE UDC
Sorting Facilities / Metro DC
• 100,000 to 200,000 SF
• Located within an hour commute
from the city
LastMile
MICRO/SMALL UDC
Urban Distribution Centers
• 20,000 to 100,000 SF
• Located very close to dense
consumer population
Consumers
.
.
Market Overview | Growth Drivers
Industrial inventory is poised for ~20% growth over the next 5 years due to structural drivers and organic growth trends
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Market Overview | Supply & Demand
Last mile inventory (≤100K SF) shows minimal new construction, outperforming larger segments due to significant entry barriers. This segment enjoys strong occupancy driven by e-commerce growth, local business demand, and space flexibility. Faropoint believes supply-demand imbalance in this segment offers long-term stability and adaptability in evolving markets.
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Opportunity & Value Proposition
Faropoint Value Proposition
Visibility & Access
Proprietary sourcing platform provides Faropoint with visibility into $40B of annual real-time deal flow sourced from 400 local industrial brokers.
Execution at Scale
8 Regional offices and 450+ warehouses acquired position Faropoint as the most active aggregator in the US.
Value Enhancement
Vertically integrated local teams leveraging proprietary in-house AI tools support our leasing and performance objectives.
Faropoint Value Proposition
Visibility & Access
Proprietary sourcing platform provides Faropoint with visibility into $40B of annual real-time deal flow sourced from 400 local industrial brokers.
Faropoint’s proprietary platforms allows for hundreds of brokers from multiple local markets to seamlessly upload deals into a single buyer marketplace.
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Faropoint Value Proposition
Execution at Scale
8 Regional offices and 450+ warehouses acquired position Faropoint as the most active aggregator in the US.
Supported by robust corporate functions, each market is individually equipped to execute all functions and tap into the local ecosystem in a vertically integrated fashion.
Corporate
Investments
Financing
Tax & Legal
Accounting
Capital
R & D
Local Markets
Northeast
Midwest
Texas
Southeast
Florida
California
Each Containing
Market Officer
Acquisitions Team
Asset Management
Construction Management
Network of Active Brokers
Faropoint Value Proposition
Value Enhancement
Vertically integrated local teams leveraging proprietary in-house AI tools support our leasing and performance objectives.
Faropoint seeks to provide value across the risk/return spectrum, catering towards tenants’ needs and adjusting for market conditions.
Mark to Market
Utilizing market data and expertise to achieve favorable lease terms and maximize rental income.
Repositioning
Enhancing property value with strategic reconfiguration, adding features, and improving infrastructure to accommodate a larger user base.
Ground Up Development
Leveraging proprietary market insights to identify and execute unique development opportunities in supply-constrained markets.
Faropoint Value Proposition | Portfolio Premium at Exit
Portfolio sales have historically averaged a 49% premium over individual asset sales (2014-2024)
Asset aggregation
Value Creation through holding period
Institutional last mile portfolio premium at disposition
Summary of Terms
Appendix | Logistic Fund I
Fully realized at 28.2% Net IRR and 1.9x Net Multiple
Note: Fund I has been selected as a case study as it represents our only fully realized fund in this strategy and offering. Case studies for Funds II and III are not provided given their respective stage in each fund's lifecycle, but similar information is available upon request.
Thank You!
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