Lineage expands Pacific Northwest presence with BCS acquisition

NOVI, Mich. - Lineage, Inc. (NASDAQ: LINE), a leading global temperature-controlled warehouse Real Estate Investment Trust (REIT) with a market capitalization of $14.86 billion, has expanded its footprint in the Pacific Northwest through the acquisition of three warehouses from Bellingham Cold Storage (BCS). The transaction, which includes approximately 24 million cubic feet of space and 85 thousand pallet positions, was announced Monday. According to InvestingPro data, Lineage stands as a prominent player in the Industrial REITs industry, offering investors a 3.6% dividend yield.

The acquired assets consist of the Bellingham Waterfront Warehouse Center, the Orchard/I-5 Warehouse Center, and the Burlington Dry location, all situated on the west coast of Washington state. This strategic move not only enhances Lineage’s network, which already encompasses 40 locations across Washington, Oregon, and Idaho but also establishes a significant presence at the Port of Bellingham, a vital hub for seafood and agricultural products distribution. The expansion adds to Lineage’s substantial operations, which generated $5.34 billion in revenue over the last twelve months.

Brian Beattie, President of North America West at Lineage, expressed enthusiasm about the acquisition, stating it would improve service for customers in the region and beyond. Beattie also highlighted the importance of Bellingham’s role in the seafood and agriculture industries and the potential for offering additional supply chain solutions.

Doug Thomas, President and CEO of Bellingham Cold Storage, praised Lineage for recognizing BCS’s quality service and operational dynamism. He expressed confidence in Lineage’s stewardship and its commitment to maintaining BCS’s high customer service standards. Thomas also acknowledged the contributions of BCS’s team over the past 79 years.

The acquisition promises to bolster the local economy and continue BCS’s community business traditions. Beattie mentioned the ongoing modernization project at the Port of Bellingham and the integration of BCS’s dedicated team members into Lineage’s workforce as reasons for optimism.

Lineage, with over 485 facilities worldwide, offers end-to-end supply chain solutions and technology, partnering with major food and beverage producers, retailers, and distributors. The company aims to enhance distribution efficiency, sustainability, and minimize supply chain waste.

This expansion is based on a press release statement and is a part of Lineage’s broader efforts to build a smarter, more sustainable, and efficient food supply chain. While analysts expect net income growth this year, detailed financial analysis and additional insights are available through InvestingPro, which offers comprehensive research reports and over 30 additional premium metrics for this stock. For additional information, visit onelineage.com.

In other recent news, Lineage Inc. reported its fourth-quarter and full-year 2024 earnings, revealing flat revenue for the year at $5.34 billion. Despite this, the company projects growth in adjusted EBITDA for 2025, estimating a range between $1.35 billion to $1.4 billion. RBC Capital Markets adjusted its outlook for Lineage, reducing the price target to $74 from $81, but maintained an Outperform rating, indicating confidence in the company’s market positioning and innovative systems like linOS. Similarly, Goldman Sachs revised its price target for Lineage to $71 while maintaining a Buy rating, citing the company’s potential to outperform its peers with a projected growth rate of 6.1% in 2025.

Additionally, Lineage announced a quarterly cash dividend of $0.5275 per share for the first quarter of 2025, reflecting its commitment to shareholder value. Citi initiated coverage on Lineage with a Neutral stock rating and a $64 price target, acknowledging the company’s growth potential and market presence but noting challenges such as operational intensity and foreign exchange risks. Lineage’s recent developments, including the launch of its proprietary warehouse execution system LinOS and the opening of a fully automated cold storage facility, underscore its focus on innovation and operational efficiency. These strategic moves are expected to enhance Lineage’s market leadership in the cold storage sector.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.