Europa Capital has seeded a value-add UK last-mile logistics and warehouse platform with a £27m (€30.7m) portfolio.
The pan-European real estate investment manager said it has launched the British Light Industrial Platform with Seven Dials, who will act as the platform’s asset manager.
Europa Capital said the platform’s plan is to put together a portfolio of over £100m over an 18-month period.
The plan is to focus mainly on income-producing last-mile logistics and warehouse investments which provide the opportunity to create value through active asset management, such as refurbishment, re-letting activity and expansion through development.
The platform’s seed portfolio of three industrial assets – located around London in Sunbury, Amersham and Grays – were assembled through separate deals.
Europa Capital said the 180,000sqft portfolio is 88% occupied with a weighted average unexpired lease term of more than three years, adding that the portfolio offers the ”opportunity for active asset management and refurbishment to grow the rental income, improve capital values and enhance sustainability credentials”.
James Fortescue, partner at Europa Capital, said: “The launch of this investment programme builds on our substantial experience in the industrial market, a sector which remains a strategic priority for our investment portfolio.
“This new platform is a planned agglomeration strategy whereby we look to acquire smaller assets, which require active management and then to improve liquidity further through creating scale.”
Darren Fennell, director at Seven Dials, said: “We continue to focus on assets around London, which we believe will be the focal point during the recovery from the pandemic, as well as other major conurbations.
“Additionally, we have targeted properties that have low site coverage and units that are well placed to meet the requirements of e-commerce and distribution occupiers.”
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