Savills Investment Management has invested €65.5m to buy a logistics property in Poland on behalf of Korean institutional investors.
The manager said the 100,000sqm asset in Łódź was acquired from Tritax EuroBox on behalf of the Vestas European Strategic Allocation Logistics Fund (VESALF I).
Tritax EuroBox said the disposal amount is 15% above the property’s 30 September 2020 valuation.
Nick Preston, fund Manager of Tritax EuroBox, said: “The positive structural trends, which underpin the significant demand for logistics space, are expected to continue to strengthen further over the long-term.
“This profitable sale of one of our earlier asset purchases, 15% ahead of the latest book value, has delivered strong returns to our investors and is in line with our refined strategy of taking full advantage of these trends and crystalising profit, allowing us to redeploy capital into higher returning investment opportunities.”
Alistair Ennever, director, strategic partnerships, Savills Investment Management, said: “We are delighted to have signed the second acquisition on behalf of VESALF I. The logistics market remains a bright spot within the real estate landscape, and Savills IM is very active in the sector.
”We have made a strong start to the year and look forward to further activity across Europe in the coming months.”
The pan-European VESALF I fund was launched in partnership with Vestas Investment Management in November last year. The fund is solely backed by Korean institutional investors.
The VESALF I fund targets core/core-plus logistics assets across all key European markets. The fund was seeded with a new 115,000sqm unit in Tholen, the Netherlands.
In the latest transaction, VESALF I was represented in the transaction by JLL, Dentons, PwC and BNP PRE.
Tomasz Puch, head of capital markets, Poland, at JLL, said: “This transaction confirms the attractiveness of the Polish market for high quality, well-let logistics assets and demonstrates VESALF I’s ability to execute swiftly and efficiently to secure the right product.
“We expect to see Poland continue to be a highly attractive market for logistics investment for the remainder of the year and beyond, supported by strong liquidity and robust occupier fundamentals.”
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