Hines has announced the launch of a new investment strategy in the logistics sector in Germany. Over the next 18-24 months, the firm plans to invest capital totalling approximately €400m in logistics properties in the German market. There will also be a focus on development projects in selected locations. With the new strategy, Hines is expanding its established investment approach and concentration on core properties. This is a response on the rapidly growing demand for high-quality logistics facilities and the company is making a decisive move to benefit from the future potential of the segment. Last year, Hines sold a portion of its existing logistics portfolio in a pan-European transaction to a large institutional investor.
As the first property acquisition under the new strategy, Hines has now purchased a 36,000m² logistics complex in Maintal near Frankfurt for the Hines Global Income Trust. Situated next to the autobahn A66, the site is very close to one of Germany's most important markets. The property is fully leased to the logistics service providers Deutsche Post (DHL) and Schenker as well as the timber wholesaler Becher. The building was sold to Hines by the private investors Werner Gutperle and Jurgen B. Harder.
Christian Meister, Managing Director at Hines: "With this acquisition, we are consequently following our new investment strategy and demonstrating our growth ambitions in this asset class after the purchases of several core properties in recent years. Our focus is on core-plus and value-add properties in good to excellent locations. Moreover, along with investments in the logistics sector, we will also be active as a project developer."
"Against that backdrop, and after an extensive review of various options, we will also begin making selective investments in the logistics development business in course of 2019. This will include the purchase of land as well as existing buildings. The developed properties are intended both for our own portfolio and for market sale," said Alexander Moll, Senior Managing Director at Hines.
