Investec REALIS has accelerated its urban logistics expansion with three new development sites secured in partnership with Wrenbridge, totalling €105m in gross development value across Greenwich, Cambridge and Harlow. The move signals growing institutional appetite for last-mile assets in a market where industrial land availability has plummeted 25% since 2005.
The trio of acquisitions includes a former film studio warehouse in Greenwich earmarked for conversion into a 3,716 m² single-let unit, a brownfield Cambridge site being redeveloped into a 3,437 m² mid-box logistics facility, and a 47% stake in the 3.2-hectare Harlow Innovation Park, which will deliver 13,935 m² of industrial and R&D space alongside partners Buccleuch Property.
All three schemes will target EPC A* ratings and BREEAM Excellent certification, addressing the critical shortage of sustainable urban logistics infrastructure. For institutional investors, this focus on top-tier environmental credentials positions the assets to capture premium rents whilst future-proofing against increasingly stringent regulatory requirements, a consideration often overlooked in speculative developments entering the market today.
"Despite Greater London and the South East being Europe's dominant last-mile ecosystem, competition from higher-value use classes has resulted in an acute supply-demand imbalance for modern, sustainable urban logistics. In Wrenbridge, we have teamed up with a trusted, longstanding partner, and their ability to source three projects at such an attractive entry price is testament to the strength of their relationships and the depth of their local market knowledge," said Yon Papageorgiou, Head of Real Estate Equity Investments at Investec.
The partnership builds on REALIS's industrial and logistics development strategy, which now encompasses six transactions completed over the past year. This includes a €468m joint venture with Kier Property launched earlier this year to develop multi-let urban logistics assets across England, demonstrating sustained capital deployment in the sector.
"We are very excited to have teamed up with Investec to deliver three best-in-class sites. The projects located in Greenwich, Cambridge and Harlow will be brought forward on a speculative basis, reflecting our belief in the occupational markets driven by a continued supply and demand imbalance," added Ben Coles, Chief Executive of Wrenbridge, whose portfolio spans 30 schemes worth €2.34bn in gross development value.
People mentioned:
- Yon Papageorgiou, Head of Real Estate Equity Investments, Investec
- Ben Coles, Chief Executive, Wrenbridge
Companies mentioned:
- Investec, International financial services provider
- Wrenbridge, UK logistics developer
- Buccleuch Property, Development partner
- Kier Property, Joint venture partner
