German investor Patrizia is to acquire a pan-continential portfolio of 42 logistics assets for around €1.2 bn.
The vendor in the transaction is global investor, BentallGreenOak.
Patrizia is making the purchase on behalf of a logistics fund which is backed by a club of institutional investors, comprising PFA Pension in Denmark, the Public Officials Benefit Association (POBA) in South Korea and Patrizia’s Logistik-Invest Europa II (PLIE II).
Located in France, Spain, Italy and the Netherlands, the portfolio comprises over 1.4 mln m2 of existing lettable area as well as a further 138,000 m2 of lettable space for the three developments in Italy and Spain.
Of the 42 assets, 39 are yielding properties, and three are forward purchased new logistics developments in Italy and Spain which are partially pre-let.
They are located in Europe’s key logistics corridors and are close to 90% income producing, let to a reputable and diverse tenant base of over 30 national and international businesses from the ecommerce, manufacturing and third-party logistics sectors.
Key tenants include Carrefour, Aldi, Dachser, DHL, Easydis and Geodis. The overall portfolio weighted average unexpired lease term (WAULT) is over seven years.
Rob Brook, head of alternative investments at Patrizia, said: 'This purchase provides immediate exposure to a portfolio of institutional quality and scale across four separate markets, which will deliver robust, reliable returns to our investors.
‘Furthermore, with strong structural tailwinds and the highly attractive fundamentals of the logistics sector, we expect there to be additional potential opportunities for the portfolio to cover growth markets and to diversify the pan-European logistics platform further, due to a relatively low base of e-tailing penetration across Europe in contrast to some specific markets like the UK, Germany and The Netherlands.’