NEWPORT BEACH, CA-The Carson Cos., a private REIT specializing in industrial property, has formed Carson Advisors to seek between $100 million and $200 million of investment from prospective partners. The new Carson Cos. unit will seek to partner and invest with public and corporate pension funds, sovereign wealth funds, endowments, foundations and high net worth investors.

The Carson Cos. specializes in acquisitions, development and management of industrial properties. James D. Flynn, president of the Newport Beach-based company, says that Carson Advisors will acquire and invest in high-quality distribution and light manufacturing industrial properties in Southern California and Houston, at low levels of leverage.

According to Flynn, the newly formed entity is a response to today's "unique real estate market conditions," which present the opportunity to "acquire quality assets at attractive yields within the industrial sector." Carson Advisors will utilize the Carson Cos.' existing platform of acquisition, development, management and leasing of industrial properties. The Carson Cos. owns and operates 10 million square feet of industrial property.

Flynn, in an announcement regarding the new entity, comments: "The Carson Companies does not have any legacy issues due to the fact that it did not purchase any properties in Southern California in 2006 through 2008―and sold a significant portion of its portfolio in 2008." During that time, the firm concentrated its efforts in Houston where it now owns two million square feet of industrial property. "Houston has weathered the storm much better than California," Flynn observes.

Flynn explained that due to Carson's low leverage and conservative strategies, the firm is in the position to focus on acquisitions and partnerships during a time when many real estate companies are struggling with their portfolios. "The Carson Cos. has existed for almost 100 years and has always been focused on generating a reliable cash yield for its shareholders," explained Flynn. "We believe this strategy will appeal to pension investors that want to de-lever and de-risk their portfolios."