Becknell Launches Private, Perpetual-Life Industrial REIT
Becknell Industrial, a vertically integrated real estate investment company specializing in the development and management of industrial properties, has launched a private, perpetual-life real estate investment trust focused on income-producing U.S. industrial properties. The move marks the firm’s entry into the non-traded REIT market.
The vehicle, Becknell Industrial Income Trust Inc., is being offered as a private placement under Rule 506(c) of Regulation D and is available exclusively to accredited investors. The REIT is externally managed by BI Advisor LLC, an affiliate of Becknell Industrial.
Becknell Industrial Income Trust is designed to acquire and actively manage a diversified portfolio of stabilized, income-producing industrial assets located in what the sponsor describes as mission-critical markets. The strategy emphasizes properties leased to tenants with strong credit profiles and long-term lease terms, primarily within the distribution and light manufacturing sectors.
“We intend to own and actively manage a diversified portfolio of stable, income-producing industrial assets in mission-critical locations for high-quality tenants throughout the United States,” said Clay Thelen, chief financial officer at Becknell Industrial.
The REIT is structured as a perpetual-life vehicle intended for long-term ownership, with limited liquidity provided through a share repurchase program and no stated timeline for a liquidity event.
In its offering materials, the company points to a combination of declining new industrial construction and rising tenant demand as a key driver of the opportunity set. Sponsor materials cite third-party data indicating that new industrial construction starts have fallen steadily since late 2022 and are now at their lowest levels since 2017. At the same time, Becknell highlights continued growth in e-commerce-related logistics demand and increased domestic manufacturing investment tied to reshoring trends and U.S. policy incentives.
According to Becknell, e-commerce-driven supply chains typically require substantially more warehouse and logistics space than traditional retail models, while manufacturing investment is driving demand for modern, specialized industrial facilities. The company said these dynamics favor owners of well-located industrial assets, particularly those with long-duration leases that can support predictable cash flow.
The REIT expects to source acquisitions primarily from Becknell Industrial’s existing build-to-suit development pipeline, as well as from stabilized developments and select third-party opportunities. The sponsor has identified a portfolio of wholly owned industrial properties that may be sold to the REIT over time, subject to valuation and board approval.
The REIT’s initial acquisition target is a newly constructed, approximately 260,000-square-foot industrial facility in Altavista, Va., that will be leased to Abbott Laboratories under a 13-year lease with annual rent escalations of 3%. Abbott is expected to take occupancy in the coming months.
Becknell Industrial Income Trust is offering multiple share classes with a stated net asset value of $1,000 per share prior to applicable upfront fees, with differing upfront fee structures. Class A shares are offered at $1,077 per share, Class H shares at $1,000 per share, Class R shares at $990 per share and Class I shares at $980 per share, with minimum investments generally starting at $25,000, except for Class I shares, which carry a $1 million minimum.
The REIT expects to make monthly distributions, subject to board approval and available cash flow. According to a January 2026 supplement to the private placement memorandum, the board approved an initial cash distribution of $4.1667 per share across all share classes and operating partnership units for the period from Nov. 1 through Nov. 30, 2025. The distribution was paid in Decemeber 2025 to investors, who currently consist primarily of affiliates and related parties.
On an annualized basis, that monthly amount would equate to approximately $50 per share, or a 5% annualized rate on the REIT’s $1,000 initial offering price, if sustained. The company has not established a target distribution rate, and future distributions remain subject to board approval.
Unlike many non-traded REITs that report NAV, Becknell Industrial Income Trust uses a valuation framework based on stabilized asset value, or SAV. Industry observers said the approach is intended to provide a consistent valuation methodology during the portfolio’s ramp-up phase. SAV defines the period of time during which a new acquisition is being absorbed into the fund prior to it being included in the calculation and is intended to reflect the value of the REIT’s assets assuming stabilized occupancy and income levels.
The SAV is calculated using independent third-party appraisals. Once the REIT reaches sufficient scale, SAV is expected to be published quarterly and used to determine offering prices and share repurchases. According to the PPM, the REIT’s valuation adviser is Situs ANC, though final valuations are subject to board approval.
Becknell Industrial has committed to invest a minimum amount equal to the lesser of 10% of the REIT’s stabilized asset value or $15 million.
“This fund provides accredited investors the opportunity to participate in the industrial real estate sector through a professionally managed, income-focused vehicle with a team that has been exclusively focused on industrial real estate for over 35 years,” added Thelen.
The REIT’s board is currently comprised of insiders but may consider adding independent directors upon reaching a to-be-determined value milestone or exit strategy.
Founded in 1990 and headquartered in suburban Chicago, with four additional offices located throughout the country, Becknell Industrial has acquired or developed more than 225 industrial properties occupying in excess of 40 million square feet with total capitalization of just under $4 billion.
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