Cromwell Property Group has bought a logistics park in Italy for its European real estate investment trust.
The real estate investor has invested an undisclosed amount to buy Centro Logistico Orlando Marconi for Cromwell European REIT (CEREIT). The park was acquired on 23 December by Cromwell EREIT Management, the manager of CEREIT.
The intermodal logistics park contains net lettable area totalling 156,888sqm and is located on a 421,703sqm site.
Robert Cotterell, Cromwell’s head of investment in Europe, said: “Logistics is a sector we think has strong and enduring characteristics and we are seeing opportunities in most of the countries in which we operate.
“COVID-19 has impacted consumer behaviour and we believe it has pulled future e-commerce and online growth forward, giving impetus to the broader sector.”
Lorenzo Caroleo, Cromwell’s head of Italy, said: “The general uncertainty we are experiencing favours those investors which are agile and have a flexible capital structure.
“CEREIT has a track record in Italy and is familiar with the environment and was able to move swiftly and make a compelling offer to the seller.”
Simon Garing, CEO of the manager of CEREIT, said: “The logistics park is expected to generate stable and recurring cash flows with scope for further rental upside and will increase CEREIT’s exposure to the resilient logistics sector, which is consistent with our stated purpose of delivering long-term distribution and net asset value per unit growth to unitholders.”
To read the digital edition of the latest IPE Real Assets magazine click here.
