Valor Real Estate Partners and QuadReal Property’s European logistics real estate investment partnership has added €100m worth of assets in France.
The joint venture has acquired three urban logistics assets, located in Paris, Lyon and Marseille from an unnamed institutional investor.
The acquired assets consist of a 40,000sqm, multi-let property constructed in 2004 in Marly-La-Ville, located within the North Paris submarket; a 30,000sqm distribution park situated in Corbas, Lyon, which underwent refurbishment in 2012 and currently boasts an occupancy rate of 83% with five tenants; and an additional asset located in Salon-de-Provence, Marseille.
Ben Brunschwig, principal at Valor, said: “This was a rare opportunity to acquire a portfolio of prime last mile assets, suitable for a diverse mix of 3PL and distribution businesses, for whom proximity to major arterial routes and large population hubs is essential.
“Alongside the attractive day-one income, there is an opportunity to capture substantial alpha, leveraging our in-house asset management team to deliver a range of value-enhancing initiatives.”
The latest acquisitions bring Valor’s total deployment in France and the UK to €350m in gross asset value for the current year.
Flavien Caminati, SVP at Valor, said: “Two of these assets are located in markets where we already have an established presence and a deep understanding of the occupier matrix.
“We’re particularly excited to expand our footprint into Marseille, one of France’s most dynamic cities, where we are confident we can replicate the success we’ve achieved in other major European urban centres.”
Thomas Blangy, SVP at QuadReal Property, said: “Over the past few months, alongside our partners at Valor, QuadReal has acquired 120,000 sqm of logistics space in the prime French markets of Paris, Lyon and Marseille, bringing QuadReal’s global logistics portfolio to over 13 million square meters.
“Our keen interest in the French market aligns with our long-term investment strategy of targeting high-growth urban logistics hubs where supply constraints and strategic locations create significant potential for value creation and delivering sustainable, long-term results.”
In November 2020, European urban logistics investor Valor and QuadReal Property formed a joint venture to invest €1bn urban logistics assets located in key UK, French and German cities.
At the time, the companies said QuadReal, the real estate arm of British Columbia Investment Management Corporation, would be the majority investor in the partnership, which had initial capital commitments of €440m.
With leverage, the value-add and develop-to-hold investment platform was expected to have more than €1bn of investable capital.
In January 2022, the pair launched a second value-add and development venture with a plan to invest an additional €3bn.
A previous version of this article incorrectly indicated that the partnership had acquired assets valued at €90m in France through its most recent transaction. Please note that the correct value of the latest deal is €100m.
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