Greykite’s European real estate fund has launched a €1bn multi-let industrial (MLI) investment platform with an initial 27-property portfolio acquisition in Sweden from a commercial real estate company backed by Swedish national pension fund AP3.
The Goldman Sachs Alternatives-backed Greykite European Real Estate Fund I has agreed to acquire the 94,400sqm portfolio from Regio as seed assets for the newly created Lagerhome platform which expects to invest a €1bn over the next 18 to 24 months.
The portfolio will be managed by minority joint venture partner Broadgate Asset Management. It has a 90% occupancy rate and Greykite said there were opportunities to enhance its value through leasing and property-level investment.
Greykite said Lagerhome has a strategy to target similar industrial assets in the UK and Germany, alongside its expansion in Sweden, and it has a substantial pipeline of deals under exclusivity.
Michael Abel, founder and CEO of Greykite, said: “As we continue to construct a diversified portfolio within our high-conviction areas of living, industrial and digital, launching a European MLI platform is a natural next step. The sector is displaying an attractive combination of growing tenant demand. And with replacement costs significantly above acquisition costs, an undersupply of well-connected, flexible space in Europe’s high-growth urban centres will persist.
“Lagerhome aims to capitalise on these supportive fundamentals to quickly scale into one of Europe’s leading MLI portfolios.”
Dan Valenzano, senior partner of Greykite, said: “Launching Lagerhome with this initial acquisition is consistent with Greykite’s disciplined focus on scalable investment themes driven by resilient income growth, working alongside best-in-class joint venture partners like Broadgate.
“The ongoing macro volatility continues to present a highly attractive opportunity for proactive, well-funded managers with deep pan-European networks.”
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