TH Real Estate, acting on behalf of its European Cities Fund, has acquired a distribution centre in Venlo, Netherlands from Next Level Real Estate for c.€70m. The asset totals 75,493m² across four units, with discussions underway regarding a potential third phase, which would provide a further 43,427m² of space. The property is let to an international retailer on a 15-year lease, which plans to use the centre as its main distribution hub, serving its fast-growing e-commerce network across the Netherlands and Western Europe.
The distribution centre is located in the province of Limburg, one of the most mature and established logistics markets in Europe. The asset acts as a European hub, situated in the logistical hotspot between the Netherlands’ main ports and Germany. It has good multimodal connections via water, rail and road, ensuring optimum accessibility.
Liz Sworn, Co-Fund Manager for the European Cities Fund, TH Real Estate, comments: “Being the first logistics asset acquired for the Fund, Venlo is a good diversifier. Its Grade-A quality, strong location, large lot size and tenant covenant strength, make it an exciting addition to the Fund, enhancing returns and diversification for our investors.”
Thorsten Kiel, Head of European Industrial & Logistics at TH Real Estate added: “The asset’s location is within the top logistics hub in Europe. The demand for logistics space in the area, makes it an ideal fit within our €2.6bn logistics portfolio in Europe, in which we invest in regions with sustainable demand drivers, and assets that will be resilient in Tomorrow’s World.”