Principal Asset Management has acquired a 20,200m2 logistics building in the North Rhine-Westphalia area of Germany for the European logistics fund, LOG IN, which is managed by Theoreim.
Consisting of two industrial buildings, the headquarters property is let to a leading manufacturer of vending machines, checkout zones and industrial systems.
Located on the “Am Mittellandkanal” industrial and logistics business park, near the logistics region of Bielefeld/Munster/Osnabrück, the property benefits from good transport links to Hannover and Bremen respectively, as well as to the freight centre of Osnabrück, the ports of Osnabrück, Bremen, Emden and Münster-Osnabrück Airport.
LOG IN was created in 2022 in partnership with the French alternative investment management company, Theoreim, and is the first French SCPI (Societe Civile de Placement Immobilier) dedicated to European logistics. Principal Asset Management is the investment and asset manager with eight offices in Europe and is seeking to increase LOG IN’s exposure to the industrial, logistics, data centre and life science sectors by acquiring assets in lot sizes ranging from €5 to €25m, adding to the existing portfolio of nine assets in the UK, Spain, Italy and Germany.
LOG IN’s geographical remit is being expanded to include Portugal, Ireland, Poland and Hungary because of their potential to benefit from the impact of reindustrialisation and onshoring. The reindustrialisation and onshoring in Europe are taking place as companies and governments seek to improve the resilience of overextended supply chains in the face of growing geopolitical uncertainty and the need to reduce carbon emissions.
Principal Asset Management was advised by Gleeds Deutschland, GORG, and CBRE during the transaction.
Guillaume Masset, head of transactions and asset management for Europe at Principal Asset Management, said: “This acquisition, with a long-term lease and a captive tenant, offers both revenue stability for LOG IN and also the opportunity for value creation through development on surplus land at the site. It continues the successful deployment strategy in four countries for the fund since it was set up two years ago.”
Romain Welsch, president of Theoreim, said: “This property complex is the second LOG IN building we have acquired in Germany. The controlled and rigorous growth of the portfolio makes it possible to maintain a balanced weighting in the four countries in which the SCPI is invested, allowing it to build a long-term real estate portfolio.”
Image provided by TAVISTOCK.
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