Europa Capital and its joint venture partner, Garbe Industrial Real Estate, have announced the acquisition of a light industrial and logistics portfolio in Germany and Austria on behalf of its pan-European value-add fund, Europa Fund V, for €92.5m from a joint venture between Crossroads European Real Estate Fund and Palmira Capital Partners.
Crossroads and Palmira aggregated the portfolio through single-asset acquisitions from 2015 and enhanced its value through active asset management and purposeful optimisation. Europa Capital and Garbe envisage further value enhancement through reducing vacancy and realising development opportunities, while also looking to grow the portfolio.
The 183,000m² portfolio comprises six assets located in important logistics regions where there exists strong occupational demand, including Bremen, Bochum, Troisdorf, Frankfurt, Wiesbaden in Germany and Lebring near Graz in Austria.
Nicolas Roy, Associate Director at Europa Capital, commented: “This portfolio of multi-let business parks is spread across locations within the immediate proximity of urban hubs and is therefore well suited to the fulfilment of last mile delivery. The portfolio also provides the opportunity for us to add further value through active asset management and selective redevelopment. This acquisition and our partnership with Garbe provides a platform to pursue further opportunities in this sector.”
Alexander Hoff, Managing Partner at Palmira Capital Partners who managed the portfolio on behalf of Crossroads, added: “The assembly of this portfolio during a period of rising capital values in the sector allowed us to achieve our goals via an earlier sale than originally envisaged.”