AEW, the global real estate investment manager, has acquired an 8,500 m2 last-mile distribution warehouse in northern Italy.
Financial details were not disclosed.
The asset was acquired in an off market transaction on behalf of its open-ended pan-European core fund, Eurocore, which has now invested €210 mln across five assets within just three months of the first closing period.
The last-mile distribution warehouse is strategically located at the junction of the A4 and BreBeMi motorways with connections to Milan, Turin and Brescia city centre. It is fully let to a major global ecommerce business on a nine year lease.
Constructed in 2020, the asset has strong ESG credentials and has received BREEAM Excellent certification.
Christina Ofschonka, senior fund manager of Eurocore at AEW, commented: 'To have deployed this level of Fund equity in such a short period of time since the launch of Eurocore is a real testament to the strength of the AEW platform, and in particular the deal origination capabilities it provides across Europe.
'We are building a diverse portfolio of high quality, future proof institutional assets that we believe will provide resilient income underpinned by robust fundamentals and with a strong emphasis on ESG matters, both at property and portfolio level.'
Eurocore has a strong emphasis on ESG, and targets investments in certified assets with good energy efficiency levels, as well as creating sustainable environments, according to AEW.
This latest acquisition follows four other investments that are all fully aligned with the fund’s strategy, meeting the changing demand for real estate brought about by ongoing urbanisation, demographic changes and the rise of new technologies.
Geographically, the focus is on mature and growing markets in Europe’s major cities. The current portfolio is broadly diversified by geography and sector and consists of assets that are both resilient and future-proof.
AEW has a particular focus on core real estate, with 74% of the €70 bn under management classified as core. In Europe, AEW manages almost €34 bn of assets, with €28 bn in core assets.
