AXA Investment Managers - Real Assets (AXA IMRA) has concluded fundraising for its Logistics Development Club, having reached the €240 mln target for the European-focused fund.
The equity commitments come from four international institutional investors.
Logistics Development Club aims to develop about one million m2 of Grade A logistics space in key locations across Europe. This is to capitalise on the strong demand for modern Grade-A logistics buildings, driven by ongoing consolidation in the sector, structural changes in consumer behaviour and e-commerce's rapid growth.
The fund will draw on the development expertise of Baytree Logistics Properties, a pan-European logistics and industrial platform established by AXA IMRA in 2015.
Logistics Development Club was launched in July 2016 and has already secured four sites to be developed in France, Germany and the UK which, once complete, will deliver a total of 250,000 m2 of logistics space.
The fund forms part of AXA IMRA's wider logistics real estate strategy which includes an existing pan-European logistics portfolio currently valued at €1.7 bn and comprising 2.5 million m2 of space.
Senior fund manager Arnaud de Jong said: 'Logistics Development Club allows us to capture opportunities in the cycle and create value for our clients through the development of an institutional-quality logistics product designed to meet the evolving requirements of occupiers. We firmly believe that the ongoing structural changes in supply chains, e-commerce and consumer behaviour will continue to drive demand for logistics space.'
