Dalfen Industrial Market Research Report

Background

Overview

Dalfen Industrial is a leading real estate investment firm specializing in last-mile industrial properties across the United States. The company focuses on acquiring, developing, and managing high-quality industrial facilities strategically located near major population centers to meet the growing demands of e-commerce and logistics. With a vertically integrated platform, Dalfen Industrial oversees all aspects of its operations, including development, acquisitions, asset management, property management, construction, legal, and capital markets.

Mission and Vision

Dalfen Industrial's mission is to provide exceptional real estate solutions by focusing on last-mile industrial properties that are critical to the online economy. The company's vision is to be the premier provider of strategically located industrial facilities that minimize transportation costs and delivery times for e-commerce goods.

Primary Area of Focus

The company's primary focus is on last-mile industrial real estate, which involves properties situated close to consumers and strategically located to meet the growing e-commerce and logistics demand. This includes urban infill warehouses and distribution buildings that serve as critical components of the supply chain.

Industry Significance

Dalfen Industrial plays a pivotal role in the industrial real estate sector by addressing the increasing need for last-mile facilities. The rise of e-commerce has created unprecedented demand for strategically located industrial properties that can facilitate rapid delivery times and efficient logistics operations. Dalfen Industrial's focus on this niche market positions it as a key player in supporting the evolving needs of the supply chain.

Key Strategic Focus

Core Objectives

• Acquisition and Development: Identify and acquire well-located, investment-grade assets with potential for value enhancement.

• Asset Management: Optimize the performance of properties through strategic leasing, tenant relations, and operational efficiencies.

• Market Expansion: Expand the company's footprint in high-demand, infill industrial markets across the United States.

Specific Areas of Specialization

• Last-Mile Industrial Properties: Focus on properties that are critical to the online economy by minimizing transportation costs and delivery times for e-commerce goods.

• Urban Infill Warehouses and Distribution Buildings: Target strategically located facilities near major population centers to meet the growing e-commerce and logistics demand.

Key Technologies Utilized

• Proprietary Data-Based Last-Mile Scoring Methodology: A data-driven approach to identify optimal locations for last-mile facilities based on factors such as demographic growth, population density, connectivity, and workforce availability.

Primary Markets Targeted

• High-Demand U.S. Metropolitan Areas: Focus on cities with strong economic growth and significant e-commerce activity, including Dallas, Las Vegas, Cincinnati, and Atlanta.

• Strategic Logistics Hubs: Target regions with excellent connectivity to major transportation routes, airports, and seaports to facilitate efficient distribution.

Financials and Funding

Funding History

Dalfen Industrial has successfully raised multiple funds to support its acquisition and development activities. Notably, the company launched the Dalfen Last Mile Industrial Fund V in September 2021, which held a final close in December 2023 with $562 million in commitments, surpassing its $500 million target and becoming the firm's largest fund to date.

Total Funds Raised

As of December 2023, Dalfen Industrial has raised a total of $562 million through its Last Mile Industrial Fund V.

Notable Investors

The firm's investors include large American and Canadian banks, financial services holding companies, and some local banks in certain markets.

Intended Utilization of Capital

The capital raised is primarily allocated towards acquiring and developing last-mile industrial properties in high-demand markets, enhancing the company's portfolio, and supporting its expansion strategy.

Pipeline Development

Key Pipeline Candidates

• Frisco Trade Center: A three-building, 575,000-square-foot industrial park located in Frisco, Texas, scheduled for delivery in Q4 2023.

• Diablo Logistics Center: A 144,000-square-foot industrial property in Las Vegas, Nevada, acquired in June 2025.

• Class A Logistics Facility in Atlanta: A 350,000-square-foot facility in Powder Springs, Georgia, acquired in September 2025.

Stages of Development

• Frisco Trade Center: Under development, with completion expected in Q4 2023.

• Diablo Logistics Center: Acquired and operational.

• Class A Logistics Facility in Atlanta: Acquired and operational.

Target Conditions

These properties are strategically located to serve the growing demand for last-mile logistics and e-commerce fulfillment in their respective regions.

Relevant Timelines for Anticipated Milestones

• Frisco Trade Center: Completion and operational readiness in Q4 2023.

Technological Platform and Innovation

Proprietary Technologies

• Last-Mile Scoring Methodology: A proprietary, data-driven approach to identify optimal locations for last-mile facilities based on various factors, including demographic growth, population density, connectivity, and workforce availability.

Significant Scientific Methods

• Data Analytics: Utilization of advanced data analytics to assess market trends, tenant needs, and property performance.

• Geospatial Analysis: Employing geospatial tools to evaluate the strategic positioning of properties relative to transportation networks and consumer demographics.

Leadership Team

Executive Profiles

• Murray Dalfen: Chairman of Dalfen Industrial. He has held both the Chairman and Chief Executive Officer positions from 1992 through 2022, responsible for the leadership and oversight of the firm.

• Sean Dalfen: President and Chief Executive Officer of Dalfen Industrial. He leads the firm's investment and management committees and has overseen the growth of the company's portfolio to over 55 million square feet of industrial properties.

• Max Gagliardi: Chief Financial Officer, responsible for the firm's overall strategic financial leadership, overseeing finance, portfolio management, capital markets, and fund and investment structuring strategies.

• Mariam Ghoul: Managing Director of Operations, providing recommendations on strategic staffing plans, compensation, benefits, training, and development.

• Matt Anderson: Senior Development Manager focused on West Coast markets, responsible for site feasibility, due diligence, design, entitlements, and construction management for development projects.

• Richard Armstrong: Vice President of Capital Markets, overseeing capital market activities and investor relations.

• Will Smyrk: Market Lead for the Southeastern U.S., overseeing the Georgia market and responsible for capital deployment strategy, deal sourcing, due diligence, and leasing across both industrial real estate and industrial outdoor storage.

• Baron Stanton: Analyst for Portfolio Management and the Central region Investment team, supporting investment activities including deal sourcing and underwriting, as well as portfolio management including disposition and recapitalization analysis.

Competitor Profile

Market Insights and Dynamics

The industrial real estate market, particularly last-mile logistics, has experienced significant growth due to the surge in e-commerce. This growth has led to increased demand for strategically located industrial properties that can facilitate rapid delivery times and efficient logistics operations. The market is characterized by high competition, with numerous players vying for prime locations and tenants.

Competitor Analysis

• Prologis: A global leader in logistics real estate, focusing on high-quality distribution facilities in key markets worldwide.

• Duke Realty: Specializes in industrial properties, with a significant presence in the U.S. market, focusing on modern distribution facilities.

• Goodman Group: An integrated commercial and industrial property group that owns, develops, and manages real estate in key global markets.

Strategic Collaborations and Partnerships

Dalfen Industrial has engaged in strategic partnerships to enhance its market position:

• Goldman Sachs Alternatives: In January 2025, Dalfen Industrial and Goldman Sachs Alternatives expanded their logistics portfolio with the acquisition of a major logistics asset.