DWS acquires distribution warehouse for European real estate fund
DWS has agreed a forward purchase deal to buy a pre-let distribution warehouse in the East Midlands of England.
The €60bn real estate manager said, on behalf of one of its European institutional real estate funds, it will buy the warehouse to be developed in the Midlands Logistics Park in Corby, Northamptonshire for an undisclosed sum.
The site was acquired from Corby Land and Development, a joint venture between Mulberry Developments and Frogmore, who will also develop the facility.
Construction is expected to complete in 2020.
Mike Hill, head of transactions, UK and Ireland for DWS, said: “With strong asset and deal fundamentals, the forward purchase of this high-quality facility presents a favourable yield premium with good prospects for stable rental growth.
“The strong tenant demand from recognised manufacturing and 3PL occupiers to the park already reflects the positive occupier conditions of the region.”
Ronen Ribak, head of transactions, Europe for DWS said: “In the coming 12 months, the logistics sector will remain one of DWS’s key strategic growth areas.
“We will continue to actively source in locations across Europe, where logistics operators can serve their e-commerce customers as timely and as cost-effective as possible.”