Barings plans to increase its European logistics investment target in 2021, the company said as it announced the acquisition of a €26m newly built logistics asset in Sweden from Skanska.
Gunther Deutsch, managing director, head of real estate transactions – Europe at Barings, said this acquisition represents the third logistics transaction and sixth asset Barings has secured in Sweden over the last 12 months and shows the firm’s commitment to the Nordic markets.
He said the company’s European target investment volume for logistics will increase up to €900m for 2021 across its covered regions, which include the Netherlands, Germany, the UK, Italy, France and Spain, where Barings will be targeting both portfolio and sale-and-leaseback transactions.
According to Thorsten Slytå, the managing director and head of Nordics at Barings, the company invested €230m into Nordic offices and logistics across both core-plus and value-add risk profiles in 2020.
Slytå said Barings expects that 2021 will be another busy year as the company aims to deploy €400m across the Nordics mainly in logistics, offices with repositioning potential and in the residential sector.
“Within these segments, we will review core, core-plus and value add opportunities.”
Barings has agreed to buy the 20,100sqm Sörred Kubiklager facility in Gothenburg on behalf of a core investment strategy. The asset’s first tenant will move into its space during the second quarter of 2021 and Barings plans to let up the remaining space.
“Discussions with potential occupiers are already underway, with the asset benefitting from a strong location in the foremost logistics hub in Sweden, which offers excellent transport links to the wider Nordic region,” Slytå said.
The potential to divide the asset into smaller units also provides flexibility and allows Barings to provide modern and sustainable space that meets the needs of future occupiers in a market where new supply is constrained, Slytå said.
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