Hines has acquired a 17,474m² urban logistics park in Villaverde, Madrid, on behalf of the Hines Pan-European Core Fund (HECF). The transaction is the second urban logistics acquisition this year for HECF, after announcing plans to diversify its portfolio into the urban logistics and residential sector in March. It also represents the Fund’s first urban logistics deal in Spain.
The park is fully let on a 10-year mandatory period to a third-party logistics operator, Ontime, and is composed of an existing asset which will serve as Ontime’s new Spanish headquarters as well as a cross-docking warehouse with 40 loading docks which are currently under development. Located in Villaverde, one of the 21 districts located within the city of Madrid, the asset benefits from strong access to the Madrid ring-road (M45) and the A4 and A42 highways.
Peter Epping, HECF fund manager, said: “This is an excellent asset in a strong close-to-city centre location that will benefit from the rising demand for last-mile and e-commerce facilities across major European gateway cities. We are committed to continuing to increase the Fund’s portfolio of last-mile logistics assets in top-tier European cities, a strategy which benefits from the strong backing of our investor base.”
Vanessa Gelado, Hines Spain country head, said: “This acquisition demonstrates our ability to identify key growth submarkets in Spain and subsequently source best-in-class assets. Ontime is a leading Spanish logistics operator with strong expansion plans and these facilities, within easy reach of Madrid city centre and direct access to the M45, are critical to their business plan and consistent with their outstanding growth in recent years.”