Rockspring Property Investment Managers announced that, on behalf of TransEuropean Property Limited Partnership V, it has acquired Dagneux Logistics Park in Lyon from Parcolog for €21.5 million, reflecting a net initial yield of 8.2%.
The Park comprises 40,500 m² of space across two distribution warehouse units. In addition to the existing buildings, Rockspring has also acquired a 20,000 m² site neighboring the logistics park on which it plans to construct an extension, increasing the available space by a further 10,000 m². Dagneux Logistics Park is well located in the business district of Montluel, only 18km from Lyon, and is currently fully let to third-party logistics provider Dachser and plastics manufacturer Toray Films.
The acquisition follows two logistics transactions already completed by TransEuropean V this year, with the purchase of Trade Park Zuid Oost, Amsterdam, for €21.6 million and 176,000 m² Zander portfolio in the Randstad conurbation comprising Amsterdam, The Hague, Rotterdam and Utrecht for €67.1 million.
Charles Baigler, European Director at Rockspring, commented:
“This transaction fits well with TransEuropean’s investment strategy to acquire well located, high quality real estate in markets which have supply-side constraints and good prospects for rental growth. In addition, the neighboring parcel of land offers further potential for value creation through the development of new, grade A logistics space, and we are confident that, with the right management, the asset will generate strong returns for our investors.”
TransEuropean V is the fifth fund in Rockspring’s TransEuropean series. Launched in 2012 with an ability to invest €700 million, the fund has been designed to enable investors to benefit from the re-pricing of the European property market and create a blend of core, high-cash-yielding core plus and value-adding real estate. To date, the fund has invested circa €500 million in France, Switzerland, Germany, Sweden and the Netherlands.
Rockspring was advised by JLL, Landwell, Franklin, Les Notaires du Quai Voltaire and Turnbull on the transaction, while Parcolog was advised by BNP Paribas.