Barings Real Estate has more than doubled the size of its French logistics warehouse portfolio with the acquisition of a 90,000sqm portfolio.

Barings said it bought the Paco Portfolio, made up of two assets, in Savigny le Temple and Réau as part of its pan-European core plus investment strategy, on behalf of an institutional investor. The Paco Portfolio was acquired from a private investor for an undisclosed sum.

The 22,512sqm Savigny-le Temple warehouse was constructed in 2004 and is fully let. The property is also fully permitted for a 10,200sqm extension.

The Réau warehouse was built in two phases and comprises a total 67,000sqm with 42,000sqm pre-let to a French logistics firm, and 24,950sqm recently completed in late October 2018 with active letting in process.

Séverine Maumy-Laffineur, Barings managing director and real estate country head in France, said: “This is Barings’ third logistics acquisition in France this year, bringing our total French logistics portfolio to approximately 160,000sqm.

With the continued growth in online sales, logistics assets remain attractive investments for institutional investors interested in long-term growth opportunities, Maumy-Laffineur said.

“Given our global footprint and expertise across sectors, we are confident in our ability to complete the lease-up of the Réau property and we look forward to growing our portfolio in France with additional investments in the core to value-add profile.

“Thanks to the Paco Portfolio acquisition, Barings has increased significantly their real estate assets under management in France to seven assets for a total net value of approximately €200m.”