Why Family Offices and Private Investors Are Increasing Allocations to Industrial Assets
By Kyle Gibbons, Acquisitions – Commercial GRP
Over the past decade, industrial real estate has quietly transitioned from a niche asset class to a core holding for institutional and private investors alike. What was once viewed as a low-yield, low-glamour sector is now seen as a foundation for stable, inflation-resilient portfolios. At Commercial GRP, we’re seeing this trend accelerate among family offices and private investors who are actively increasing allocations to industrial assets — and for good reason.
1. The Data Behind the Shift
The industrial sector’s fundamentals are exceptionally strong. National vacancy rates remain near historic lows, while tenant demand continues to outpace new supply in key submarkets. As e-commerce matures, tenants are optimizing distribution footprints, driving renewed interest in mid-size facilities (15K–120K SF) — the exact range we specialize in sourcing.
For family offices and private investors, this creates an ideal entry point. Industrial assets offer predictable income, long-term leases, and reduced volatility compared to office or retail. In addition, these properties often require less ongoing capital expenditure, freeing investors to focus on strategic growth rather than constant management.
(For more on asset performance and market cycles, read our post on Understanding Industrial Cap Rates in 2025.)
2. A Fit for the Family Office Mindset
Unlike institutional funds that must deploy massive amounts of capital quickly, family offices have the flexibility to pursue targeted, disciplined acquisitions. This aligns directly with our sourcing philosophy at Commercial GRP: we focus on properties that not only fit the buy box but also improve the fabric of the surrounding community.
Family offices value control, transparency, and direct access to operators who understand the nuances of each deal. We maintain open communication throughout the acquisition and underwriting process — a reflection of our core value of Outstanding Communication — ensuring that every investor understands both the opportunity and the risk before closing.
3. Industrial as a Platform for Long-Term Value
Industrial properties provide more than just yield — they offer strategic positioning for the future. With continued reshoring, supply chain diversification, and demand for last-mile distribution, these assets sit at the intersection of logistics and community growth.
At Commercial GRP, our acquisitions team applies a disciplined, detail-oriented evaluation process to identify assets with sustainable tenant demand, sound physical condition, and long-term upside. Every acquisition is underwritten not just for IRR, but for its potential to strengthen local economies and support businesses that keep communities thriving.
This is where Honesty and Integrity intersect with performance — acquiring responsibly, pricing fairly, and pursuing deals that create enduring value for both investors and communities.
4. The Path Forward
As we move through 2025, we anticipate continued expansion of private capital into the industrial sector. The investors who will benefit most are those partnering with teams that combine motivation and commitment with strategic discipline — qualities that define every acquisition we pursue at Commercial GRP.
If you’re an investor seeking consistent, risk-adjusted performance and direct access to experienced operators, we invite you to connect with us. Let’s identify opportunities that not only align with your portfolio goals but also make a meaningful impact on the communities we invest in.
→ Connect with our acquisitions team today to discuss current opportunities.
