Global real estate investment manager AEW, acting on behalf of a separate account mandate backed by a German pension fund, has bought an €80m airside logistics asset in Denmark’s capital.
AEW has bought the Copenhagen Cargo Centre (CCC) from Palm Capital, the companies announced separately without disclosing any financial details.
According to sources, Palm Capital sold the fully-let 28,135sqm asset for around €80m.
The asset was developed and expanded between 1992 and 2009. Palm Capital acquired the asset in 2018 and undertook an asset management program to reposition the asset.
CCC, which is situated directly adjacent to the Danish capital’s main airport, comprises 18,500sqm of warehouse space and 5,700 sqm of offices across three units.
In addition to the standing asset, there is also fully permitted development for an additional 5,000sqm warehouse to the southern part of the 67,500sqm site. Construction is expected to begin at the end of 2021.
Lars-Henning Pylla, fund manager at AEW, said: “Copenhagen Cargo Centre is a strategically located logistics asset, enabling occupiers to cater to major cities crossing both Sweden and Denmark. Situated airside at Copenhagen Airport, the asset provides rare direct access to the cargo area, as well as excellent multi-modal connections.
”With a strong line-up of occupiers, this acquisition generates sustainable income, which aligns with our client’s investment objectives, as well as offering an opportunity to add further value through development, which is already attracting occupier interest.”
Nikos Koulouras, the head of investments for private equity funds at AEW, said: “Logistics has been a long-term investment focus for AEW and we will continue to target assets in strategic locations across Europe where we see the opportunity to add value, whether these are developments or standing assets, big-box or last-mile.
”This investment also forms part of our ambition to grow our footprint in the Nordics, not only in the logistics sector but also across residential and offices.”
Reda Khatim, managing partner at Palm Capital, said: “The Copenhagen Cargo Centre investment was part of our pan European manage-to-core logistics strategy. This was a unique logistics asset in a strategic location, which had committed tenants as well as significant asset management potential.
“Having acquired this property off-market in a distressed situation, we were able to execute on our business plan to create an institutional-quality asset and thereby deliver strong returns for our investors.”
A previous version of this story misstated the value of the Copenhagen Cargo Centre. According to sources, Palm Capital sold the Copenhagen Cargo Centre for around €80m.
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