VGP NV (VGP) and Deka Immobilien today announced the signing of the third and final closing of their 50:50 joint venture, RED (The 'Fifth Joint Venture'). This transaction includes a logistics building developed in a park that was transferred to the joint venture in the first closing. At the time, this asset was still under construction.
The building is located in VGP Park Magdeburg and is fully leased to Rhenus.
The transaction with RED will be the final closing out of a pre-agreed series of three transactions in which the full portfolio of 20 buildings has been transferred to the Joint Venture. The pricing of the full portfolio was pre-agreed at the time of the initial closing. This third transaction consists of €103.5m of gross asset value and with the transaction VGP will generate €68m in net cash proceeds.
Following the completion of this final closing of the RED Joint Venture, the RED Joint Venture's property portfolio is now fully invested and consists of 20 completed buildings representing around 859,000m² of lettable area with a 100% occupancy rate.
Image source - Pexels.
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