Patrizia’s seventh European property fund has added a 29,000sqm logistics asset in Spain to its portfolio.

The manager’s TransEuropean VII (TEP VII) has paid an undisclosed sum to buy the property in Los Gavilanes industrial estate in Getafe, Madrid being developed speculatively.

Practical completion is expected in early 2021.

Patrizia said the latest acquisition complements TEP VII’s earlier purchase of a 67,000sqm fully leased logistics complex in Ontigola, Madrid in July and reinforces the firm’s commitment to the wider Spanish logistics market where Patrizia currently manages in excess of 230,000sqm.

Patrizia has been investing in Spain since 1986 and has transacted on over €310m across all asset classes and investment profiles, from core to value-add in the last 12 months.

The firm’s Madrid-based team currently manages €1bn of assets across Spain and Portugal.

The latest acquisition takes TEP VII’s weighting in Spain to €170m. 

In February, Patrizia raised half of its €500m target at second close for the TEP VII and said it was reviewing a further €200m of possible commitments.

The €500m fundraise will ultimately provide €1.2bn of firepower with leverage.

Eduardo de Roda, country manager for Patrizia Iberia, said: “Spain is fast being becoming the engine of the European economy and this is supporting the growth in occupier demand we are seeing in both Barcelona and Madrid.

“The quality of these opportunities is reflective of the deep market knowledge available to the fund, combining the on the ground expertise and deal structuring of Patrizia with that of its local partners.”