Warburg-HIH Invest Real Estate has acquired two distribution warehouses for its special AIF, “Warburg-HIH Deutschland Logistik Invest.” The properties are located in Saarland and in the Rhine-Main region and represent the first logistics properties that were acquired for the open-ended special AIF.
The single-tenant property in Saarland, which will already be completed in April 2020, provides about 18,100m² of warehouse and lettable logistics space of and over 1,300m² of office space. It is fully occupied on a long-term lease. The second acquisition involves a distribution warehouse under development in the Frankfurt am Main metro area. Located close to Fraport, the largest freight airport in Europe, the logistics property has about 15,000m² of lettable warehouse and logistics space, around 2,700m² of office space and about 100 car parking spots. The multi-tenant property is fully occupied, the average remaining lease term being around 13 years. The completion is scheduled for mid-2020. Both transactions represented asset deals. It was agreed not to disclose the selling prices.
“The ongoing coronavirus crisis has increased popular acceptance of e-commerce and will boost its growth in the long term. In addition, we are expecting to see a trend toward changed supply chains, especially of the system- and production-relevant goods that will roll back the off-shoring to Asia and prompt increased on-shoring in Germany, resulting in a growing demand for logistics accommodation in Germany. The logistics real estate sector stands to benefit from the trend accordingly,” said Lars Bothe, Senior Transaction Manager at Warburg-HIH Invest.
