Panattoni announces the launch of a pan-European fund that will invest in modern, sustainable, income-producing logistics properties.
The Panattoni Income Fund is domiciled in Luxembourg with an open-ended, evergreen structure. It aims to raise €300m of equity by 2026 and acquire €600m of assets, developed and managed by Panattoni. Panattoni’s owners and management team will be co-investing.
The fund will acquire stabilised assets and forward-purchase pre-let developments, all with the highest sustainability ratings, in countries where Panattoni operates, including Central and Eastern Europe, (particularly Poland), the UK, Italy, Spain, Germany, Austria, the Netherlands, and Scandinavia. It is being seeded with stabilised Panattoni-managed assets in Poland.
The fund’s advisory team is based in Poland. Its managing director is Krzysztof Dudek, who will manage the operations, investment activity, portfolio and asset management, as well as fundraising and capital flows. Przemyslaw Konieczka is the executive director at the fund and oversees strategic investment initiatives and portfolio management.
Krzysztof Dudek, Managing Director at Panattoni Income Fund, said: “This is an opportune time to be creating Panattoni’s first income fund. The post-Covid market correction has resulted in yields for industrial and logistics properties becoming more attractive. There has been a significant amount of capital waiting on the sidelines for repricing to settle and for more favourable financing conditions. The demand-supply dynamics in the sector continue to be very positive for investors. The potential for rental growth is underpinned by limited supply, stemming from land scarcity, regulatory barriers and rising construction costs, coupled with strong, sustained demand for logistics space, driven by e-commerce growth and new manufacturing.”
Daniel Raemy, Member of the Advisory Board at Panattoni Income Fund said: “Investing in industrial and logistics properties offers a compelling opportunity and attractive long-term returns, bolstered by structural drivers. The market is currently experiencing a shortage of supply, coupled with a growing emphasis on ESG-compliant assets, which gives the fund a competitive edge through access to premium projects.”
Image source - Pexels.
Written by Leon Goldwater for Europe Real Estate.
Europe Real Estate — an overview of real estate developments in European countries.
