Crescendo Real Estate Advisors LLP, announced today the first two purchases for its second €300m European logistics/industrial net lease fund, the Crescendo Preservation & Income Fund 2 (CPI 2). CPI 2 has purchased the global HQ, R&D and manufacturing facility in Bologna, Italy of IMA S.p.A, a world leader in the design and manufacture of automatic machines for the processing and packaging of pharmaceuticals, tobacco, cosmetics and tea. CPI 2 negotiated a new 15-year net lease. In addition, CPI 2 has acquired an automotive equipment manufacturing facility in Oss, the Netherlands, in a sale-leaseback with a Global automotive parts manufacturer based on a 20-year net lease.
“These two deals illustrate that despite Covid-19 or perhaps in part because of it, there are compelling mid-market industrial real estate deals in Europe to be done,” said co-founder Cabot Lodge.
Co-founder Daniel Quai added: “We have a number of strong equity deals in our pipeline targeting sub-€50m that we feel avoids increased competition from larger players but still allows for a diversified portfolio of corporate obligations to be built.”
CPI 2’s portfolio manager Thomas Reckers said: “Corporate sale and leaseback financing is relatively new to Europe but long-established in the US. It is attractive to property owners that benefit from releasing value from their long-term real estate asset-base and attractive to investors who benefit from a high quality, the recurring income stream from the sellers who are now tenants.”
