BOSTON—Berkshire Group, headquartered here, and Strategic Capital Partners said Thursday that they had partnered on a joint venture to develop and acquire a portfolio of industrial, office and mixed-use properties in targeted markets across the Southeast, Mid-Atlantic and Midwest. The new venture expects to build a portfolio of approximately $500 million in gross asset value via JVs with third-party institutional investors.

"A partnership with Berkshire Group represents a significant step for our company, and we look forward to scaling our platform together," says Richard Horn, managing partner of Indianapolis-based SCP. At Berkshire, Larry Elman, managing director and CIO/venture investments, says working with SCP "will allow us to enter the office and industrial sectors in some attractive markets in strategic regions alongside a highly experienced operating team."

The venture closed on its first three assets this past December, including two office development sites in Raleigh, NC, and one business park acquisition in Northern Virginia. On its own, Berkshire has invested in Raleigh-Durham multifamily over the past year, via three acquisitions from Crescent Communities. KeyBanc Capital Markets is acting as financial advisor on the Berkshire-SCP JV.

Berkshire has invested with partners across a variety of property types over the past few years. In 2011, for example, it took a majority stake in the operating platform of Lodging Capital, which then planned to put together a large portfolio of hotels in major cities and resort communities. The following year, it partnered with Montecito Capital on acquisitions in the healthcare real estate sector, and followed up in 2013 with a foray into seniors housing in tandem with LCB Senior Living of Norwood, MA.

This past June, Berkshire closed on BRV Partners Fund I with equity commitments of about $161.5 million. The fund continues the firm's partnerships in hotels and seniors facilities with Lodging Capital and LCB, respectively.