Log4Real is planning a “multi-billion euro” European industrial real estate development programme.

The German developer aims to construct three million square metres of warehouse and industrial space across Europe by 2019.

The firm, which is owned by Bremen-based Zech Group, will focus on sustainable energy warehouses and key hub locations for multi-sector tenants.

Chief executive Christian Bischoff said: “The industrial and logistics real estate market has not kept pace with the technological and sustainable innovation already adopted in other sectors, such as offices and retail.

“There are thousands of European companies occupying premises unfit for purpose in a carbon neutral era that can potentially seize this opportunity to transform their operations.

“Investors will also benefit from the low-risk and future-proof, long-term leases we will offer prior to construction.”

The targeted programme plans 800,000sqm in 2017, one million in 2018 and 1.2 million in 2019, with an average investment volume per project ranging from €30m to €125m.

Bischoff said a generational transition is underway in medium-sized and often family owned companies of Europe, such as in the Mittelstand in Germany.

“This new generation of managers has a strong sense of social responsibility and a long-term focus.

“They understand how highly sustainable and technologically advanced real estate can improve their performance and reflects their values.”