A joint venture between StoneVest AG, and an entity managed by Madison International Realty have acquired a light industrial property south of Berlin, Germany, from KWC Aquarotter GmbH.
The asset, which comprises 15,500m2 of warehouse and office space, has been acquired via a sale and leaseback transaction, with KWC Aquarotter signing a long-term lease, over 15 years, as part of the agreement.
The property is located on a plot of almost 24,000m2 at Parkstrasse in Berlin-Ludwigsfelde. This is part of the established Ludwigsfelde commercial and retail zone, which is characterized by its direct access to the A10 freeway and its proximity to the Ludwigsfelde regional train stop.
StoneVest is responsible for the asset management of the property, which was completed in 1997 and subsequently refurbished in 2005. StoneVest will work closely with KWC Aquarotter to ensure the space aligns with the tenant’s long-term business objectives, including advancing digitalization and supporting ongoing "nearshoring". Madison and StoneVest also aim to make improvements to the asset’s ESG performance.
Carey Flaherty, Chief Investment Officer of Madison International Realty, commented: “This latest acquisition continues to demonstrate our venture's ability to acquire high-quality light industrial assets through structured sale and leaseback transactions. By working closely with our occupiers through the asset management process, we unlock liquidity to support their ongoing business operations while seeking to maximize the value of these properties on behalf of our investors.”
Dr. Wulf Meinel, Founding Partner StoneVest AG, commented: "We are delighted with the successful completion of the acquisition in Berlin. Despite the ongoing challenges in the German real estate market, transactions in the light industrial sector remain possible. Many owners are now looking for partners for the modernization of their buildings, also in the context of so-called "sale and leaseback” transactions, which can provide liquidity for corporate growth and optimize corporate capital structures.”
Marten van der Mei, Managing Director of KWC-Aquarotter GmbH, said: "The decision to sell our site in Ludwigsfelde and lease it back on a long-term basis enables us to further develop our company with a view to future market requirements. StoneVest's expertise in the management of corporate real estate provides us with optimal conditions for this. We are confident that this partnership will create long-term benefits for both sides."
The joint venture previously closed on two long-lease light industrial properties in Ba-varia through a capital partner replacement transaction from the "Industrial Properties Europe" investment platform launched by StoneVest in 2021.
This latest purchase was brokered by Swiss Recap. Willkie Farr & Gallagher LLP provided legal advice to the buyer.
Image provided by FTI Consulting.
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