Lincoln Property Bets Big on South Florida's Industrial Gold Rush

DALLAS, TX – May 14, 2026 – Lincoln Property Company, a global real estate giant, has made a significant move into one of the nation's most competitive logistics markets, acquiring the Deerfield Corporate Park in South Florida. The acquisition, finalized on April 13, 2026, was executed through its recently launched Lincoln Logistics Fund II and signals a robust, well-capitalized strategy to dominate the last-mile industrial sector.

The property, a 252,000-square-foot, four-building light industrial park, was purchased from Brookfield, which had originally acquired the asset in 2019 for $36.3 million. This transaction places a strategic asset into the hands of a firm actively deploying capital from a new fund designed specifically for such opportunities.

South Florida's Red-Hot Industrial Market

Lincoln's investment is a direct response to the extraordinary market dynamics defining South Florida. The region, particularly the Fort Lauderdale industrial market that includes Deerfield Beach, is characterized by a powerful combination of surging demand and severely limited supply. This imbalance has created what many analysts call an industrial "gold rush."

Market data reveals a landscape ripe for investment. While industrial vacancy rates across South Florida have seen a modest rise from historic lows, settling around 5.8% in late 2024, the Deerfield Beach submarket remains exceptionally tight, boasting a vacancy rate of just 1.3%. This scarcity of available space has fueled explosive rental growth. Since 2019, industrial rents in the Fort Lauderdale area have skyrocketed by over 57%, and while the pace of growth is moderating, projections still call for a healthy 4% increase in 2025.

Driving this intense demand are powerful demographic and economic tailwinds. South Florida continues to experience robust population growth and a steady influx of business migrations, all while the availability of developable industrial land shrinks. The region's strategic location, with its major ports and proximity to Latin American trade routes, amplifies its importance as a logistics hub. Furthermore, the relentless expansion of e-commerce, which requires significantly more warehouse space than traditional retail, ensures sustained pressure on existing industrial inventory.

“South Florida continues to benefit from population growth, business migration and limited industrial land availability, which supports the long‑term appeal of assets such as Deerfield,” said Gary Kobus, Co-Head of Logistics and Senior Managing Director at Lincoln, in a statement announcing the deal.

The Art of the Value-Add Strategy

Rather than simply buying a stabilized asset and riding market appreciation, Lincoln is deploying a hands-on “enhanced-value strategy.” This approach, honed by the firm since 2001, focuses on actively creating value within the property itself. For Deerfield Corporate Park, this translates into a multi-pronged plan.

First, the firm will focus on leasing the property’s remaining vacancy. Though currently 94% occupied, bringing the park to full occupancy is a primary goal. Second, Lincoln will leverage the strong market fundamentals to renew existing leases at current, higher market rates. The previous owner, Brookfield, demonstrated the potential here, successfully increasing the property’s average in-place rents by over 70% during its ownership tenure. Finally, Lincoln plans to make targeted capital improvements, selectively upgrading building systems to improve efficiency and justify higher rental rates, thereby supporting long-term income growth.

“This acquisition reflects our continued focus on acquiring well‑located, functional logistics assets in supply‑constrained U.S. markets where we can leverage Lincoln’s operating platform to drive income and value creation,” noted David Binswanger, Co-Chief Executive Officer at Lincoln.

The park's physical characteristics, including its rear-load configurations, clear heights of up to 26 feet, and shared truck courts, make it highly functional for the last-mile and light industrial occupiers that are the backbone of the local logistics economy.

The Power of Multi-Tenant Light Industrial

Deerfield Corporate Park exemplifies a resilient and increasingly sought-after asset class: multi-tenant light industrial. Unlike massive, single-tenant distribution centers that can face significant vacancy risk if a major tenant departs, this park hosts a diverse base of 20 tenants. This diversification spreads risk and creates a more stable, predictable income stream.

Furthermore, the property caters to a segment of the market facing a significant supply shortage. While developers have focused heavily on large-scale projects, demand for smaller industrial spaces between 10,000 and 50,000 square feet has outpaced supply in the Fort Lauderdale market. Multi-tenant parks like Deerfield are perfectly positioned to serve the small and medium-sized businesses that form the core of the local economy, from e-commerce fulfillment operators to light manufacturing firms.

“Deerfield Corporate Park is exactly the type of asset we look for in South Florida — well-located, functional, and positioned to benefit from the region's enduring supply-demand dynamics,” added Diego Juncadella, Executive Vice President for Florida at Lincoln. “Our local team will leverage its deep market expertise to drive occupancy and generate durable income growth for the Fund.”

A Flood of Capital Pursues Limited Assets

Lincoln is not alone in its bullish outlook on South Florida. The region has become a magnet for institutional capital, creating a fiercely competitive investment landscape. In 2024, South Florida’s industrial sales volume hit $1.1 billion, and activity has only accelerated since. The first quarter of 2025 saw commercial sales in Broward County surge 32% year-over-year to $2.9 billion, largely driven by industrial deals.

Major players are making nine-figure bets across the tri-county area. Longpoint Realty Partners made headlines with a $331.3 million acquisition of 26 warehouses, while Elion Partners spent $205.5 million on a five-warehouse portfolio. Other institutional heavyweights like Ares Industrial REIT and Tishman Speyer have also made significant acquisitions, underscoring the deep-seated confidence in the market's long-term fundamentals.

To compete in this high-stakes environment, Lincoln is armed with its Lincoln Logistics Fund II. The fund, which targets a total of $1 billion, recently held a cornerstone close of over $280 million from investors including two U.S. public pension plans, one of which is the Oregon Public Employees Retirement Fund with a $100 million commitment. This fresh capital, combined with Lincoln's 60-year history and extensive on-the-ground network, positions the firm as a formidable player ready to capitalize on opportunities in South Florida and other key markets like Dallas and Seattle.