Real estate investment trust Leasinvest Real Estate has concluded two lease contracts: in Kontich (Antwerp) Federal Mogul has extended its lease contract for approximately 23,700 m², and in Neder-over-Heembeek (Brussels) a new lease for 7,200 m² (with possibility for extension to 10,000 m²) has been signed with Cameleon/Famous Clothes.
The current lease contract which expires at the end of December 2011 in Kontich with Federal Mogul, an American supplier of auto parts, has been extended anticipatively for a fixed lease period till the end of December 2016. The global logistics site of more than 23,700 m² and its accompanying offices are used as a federal Mogul's European distribution center. This lease contract represents 3.12% of the consolidated real estate portfolio.
The contract with Cameleon/Famous Clothes on the existing first phase of Canal Logistics situated in Neder-over-Heembeek (Brussels) concerns a first lease contract on this site for 7,200 m² storage space (with an option till 10,000 m²). The lease contract starts on September 30, 2011 and has been concluded based on a six to nine years lease term.
Cameleon is a major player in the private sale of clothes, accessories and decoration items in the Benelux, and will use this building as a logistics platform for their e-commerce operations for the supply of Brussels and the rest of the country.
The global first phase of Canal Logistics (www.canallogistics.be), acquired in March 2010, of which the rental guarantee from the buyer expired at the beginning of April 2011, represents 2.94% of the consolidated real estate portfolio. The expiry of this rental guarantee has a downward impact on the occupancy rate, which will however evolve positively again after this first rental.
Through this first lease contract with Cameleon/Famous Clothes 26% of the logistics part of this first phase (27,682 m²) will be let as from September 30, 2011, or 36% in case of the use of the extension possibility.
This first letting on Canal Logistics shortly after the expiry of the rental guarantee proves the attractiveness of this logistics site and we assume that this will incite other potential future users.
Canal Logistics is a new state-of-the-art logistics center, centrally located alongside the Brussels' Canal and only 10 minutes away from the city center of Brussels and Zaventem airport. Phase 1 of this project, comprising a total of 27,700 m² of storage space and 1,250 m² of offices, was acquired by Leasinvest Real Estate in March 2010. Phase 1 of this site is part of a global project of 50,000 m² of storage and 2,500 m² of offices.