Staff Reports

Steel Peak Properties, an Encinitas-based investment firm specializing in industrial outdoor storage, has formed a joint venture with Tarsadia Investments to accelerate its expansion across the Western U.S.

The partnership includes committed capital to acquire about $150 million in industrial outdoor storage (IOS) properties this year, with a long-term goal of building a portfolio exceeding $500 million. Steel Peak, founded in 2024, has acquired 11 properties in its first two years.

Company leaders said the venture will support growth into additional Western markets and eventually other high-growth regions.

"This partnership gives us the capital and alignment to execute our business plan at scale," said Blake Rodgers, co-founder and principal at Steel Peak, in a statement. "We plan to significantly expand our acquisition pipeline, grow our internal team, and pursue opportunities across multiple Western U.S. markets, while maintaining the same disciplined, operations-driven investment approach that has defined our platform."

Steel Peak focuses on construction-oriented IOS facilities, including low-coverage industrial buildings with large secured yards used by construction, equipment rental, building materials and industrial service tenants. Its value-add approach includes capital improvements, site-functionality upgrades, and leasing to regional and national operators.

The firm also works with IOS tenants seeking additional locations or real estate solutions that free up capital tied to owned facilities.

Partnerships with national tenants and portfolio-level transactions are expected to be the key drivers of long-term performance.

"The partnership with Tarsadia is about building a durable operating platform and creating the infrastructure, team and processes needed to drive performance across markets over the long term," Pasha Johnson, a principal at Steel Peak, said in a statement.