EUROPE - Allianz Real Estate has entered into a joint venture with AMB Property Corporation to invest and manage logistics real estate assets in the euro-zone.
The venture, structured as a Luxembourg FCP-FIS, will seek to acquire, own and operate logistics assets tied to global trade and located in major seaport, airport and distribution markets in the region.
Allianz Real Estate will commit €400m of equity at the outset, while AMB will provide a 15% co-investment, taking overall volume to €470m.
Olivier Piani, chief executive at Allianz Real Estate, said: "It is Allianz Real Estate's strategy to invest indirectly in regions or niches where we do not have adequate expertise on our own. We find this expertise for an industrial joint venture with partners like AMB."
Piani added: "This joint venture is the largest we have done thus far, as well as our biggest foray into the logistics space. We see a lot of long-term opportunities and are excited to move forward."
As at 31 December 2010, AMB's portfolio in Europe totalled more than 1.4m square meters of operating and development properties.
Hamid Moghadam, chairman and chief executive at AMB, said: "This is a critical step in our commitment to developing private capital ventures with leading global investors. With this new venture, we will seek opportunities to deploy capital across the euro-zone in markets that are vital to the global supply chain."