Brookfield Asset Management has agreed to acquire Peakstone Realty Trust in a proposed all-cash transaction valued at approximately US$1.2 billion.

The companies announced Monday that they have struck a take-private deal whereby a Brookfield private real estate fund will acquire all outstanding Peakstone shares for US$21 apiece.

El Segundo, Calif.-based Peakstone is an industrial REIT focused on the industrial outdoor-storage (IOS) sector. Canadian-owned Brookfield is one of the world’s largest institutional investors.

“Following an offer from Brookfield, our board of trustees evaluated the proposed transaction with the assistance of external advisors and determined that it achieves the best value and other terms reasonably available for shareholders and is in the best interests of the company,” said Michael Escalante, CEO of Peakstone, said. “This transaction recognizes the value of our industrial portfolio and the progress we have made expanding our IOS platform.”

The offer represents a 34% premium to Peakstone’s January 30, 2026 closing share price, the last full trading day prior to the announcement, as well as premiums of 46% and 51% to the company’s 30-day and 90-day volume weighted average prices, respectively, for the period ended January 30, 2026.

“This acquisition is an exciting opportunity to expand Brookfield’s industrial real estate platform with Peakstone’s high-quality and well-diversified portfolio, which will benefit from strong long-term fundamentals for the warehouse and IOS sectors,” said Lowell Baron, CEO of Brookfield’s real estate business.

Peakstone completed the sale of all of its office assets in December 2025, completing its transformation into an industrial-only REIT. Its current portfolio includes 76 industrial properties, comprising 60 IOS assets and 16 traditional industrial properties.

The transaction has been unanimously approved by the Peakstone board and is expected to close by the end of the second quarter of 2026, subject to customary conditions, including shareholder approval.

The definitive agreement provides for a 30-day go-shop period ending at 11:59 p.m. New York City time on March 4, during which Peakstone may solicit and consider alternative proposals. The company may terminate the agreement to accept a superior proposal, subject to specified notice requirements and the payment of a termination fee.

As part of the agreement, Peakstone has suspended payment of its regular quarterly dividend effective immediately, until the earlier of the transaction’s closing or termination. The outside date for the deal is August 2.

Upon completion of the proposed transaction, Peakstone’s shares will be delisted from the New York Stock Exchange.

Law firm Sterlington advised Peakstone’s management team on the transaction. The Sterlington team was led by partners Jeremy Goldstein and Christopher Harrison and supported by partners Kristy Fields and Michael Gilligan.

Pictured: Peakstone industrial-outdoor storage (IOS) facility in Maybrook, New York.

Photo: Peakstone