Global real estate investment manager AEW has acquired a newly developed city logistics asset in Warsaw, Poland from Panattoni. The off-market transaction was made on behalf of a separate account mandate for a German pension fund.
The asset is located in a prime last mile submarket on the western edge of Warsaw, and has direct access to the city centre which is a 20 minute drive away. The acquisition comprises 26,000 m2 of BREEAM-certified space across two buildings, as well as a high number of parking spaces, an outdoor gym and leisure space for employees. The two buildings are 75% let to three tenants with strong covenants, and the second building is due for completion in the first quarter of this year.
AEW’s CEE portfolio comprises €950 mln of assets in the office, retail and logistics sectors, with the region representing a target for growth in the medium term, according to Nikos Koulouras, head of investments for Private Equity Funds at AEW. ‘We have a strong conviction in the fundamentals of the Polish economy and it is an area where we expect to undertake further investments,’ he said.
Lars-Henning Pylla, fund manager at AEW, added: ‘We are very pleased to have secured this state-of-the-art logistics facility which is directly in line with our mandate, given its resilient income characteristics, as well as the positive fundamentals underpinning both the prime logistics sector and Polish economy, which we believe should enjoy a strong post pandemic recovery. This acquisition complements the mandate’s existing portfolio which now comprises seven assets, and we continue to implement a robust and future-proof investment strategy throughout Europe’s core regions.’
AEW was advised by Greenberg Traurig, Baker Tilly, TPA, Yester & Morrow and Bilfinger Tebodin. Panattoni was advised by DLA Piper.
