Aberdeen Standard European Logistics Income (ASLI) has expanded its logistics portfolio in the Netherlands with the acquisition of a warehouse in 's-Heerenberg for €24 mln.
The facility, on the German border close to Emmerich barge terminal, includes a cross dock and 40 loading bays on a 45,000 m2 site, with potential for further expansion. The warehouse is fully leased to bike parts distributor JCL Logistics Benelux BV with a remaining term of 12.5 years.
The company has also completed the acquisition of a newly built warehouse in Zeewolde from developer Borghese for €29.25 mln. The freehold property has been pre-let to industrial valve products specialist VHS Fittings BV on a 15-year lease.
The property is located on an established logistics business park and comprises a 35,000 m2 warehouse along with office space and 161 parking places.
Both deals provide an expected net initial yield of 5.0%. The portfolio contains 11 assets, including another logistics development in Oss that is close to completion.
ASLI also said it had finalised and signed a long-term financing agreement with Berlin Hyp for its Dutch properties in Ede, Oss and Waddinxveen. The secured loan with a total value of €37.7 mln has been fixed for a six-year term and enabled the company to finance the purchase of the 's-Heerenberg site, as well as the final completion payment in Zeewolde.
Evert Castelein, fund manager for ASLI, said: 'I am very happy with the quality portfolio that we have built up across five countries in Europe, which reflects a highly sustainable indexed income stream which helps protect against inflation.
'With the additional competitive bank funding in place our asset-level gearing will sit at or close to 35% on completion of the remaining forward funded project.
'Investment demand in the logistics sector remains strong. Based on healthy fundamentals we believe that the medium to long term outlook for the sector remains very favourable. Despite some tailwinds from economic output in certain areas, the structural shifts in consumption patterns and overall demand drivers remain supportive, while construction levels are relatively low. We continue to see a healthy pipeline of deal flow which we apply our stringent quality criteria against.'
