Canadian logistics specialist Dream Industrial REIT has acquired a light industrial portfolio situated in the Netherlands from M7 Real Estate for €140 mln.
The assets were sold on behalf of M7 European Real Estate Investment Partners IV (M7 EREIP IV). M7 will be retained as advisor for the portfolio.
The deal comprises 31 light industrial and logistics properties that were acquired by M7 between October 2016 and June 2018 through 12 separate transactions. M7 said that the portfolio represents significant scale in a highly fragmented market. in total, it spans 192,000 m2 and is 96% let to over 70 different tenants.
David Ebbrell, chief executive of M7, said that the firm's 'value add approach has enabled the estimated five year hold period for the assets to be halved whilst still achieving their projected returns'.
The assets are primarily concentrated in the country’s major urban centres including Amsterdam and Rotterdam, with over 87% of the properties located within 30 km of their respective city centres and mainly being used as 'last mile' hubs for the e-commerce trade.
M7 manages assets with a total value of circa €760 mln in the Netherlands comprising a total of circa 904,000 m2 across offices and light industrial space.
'The Netherlands remains a strategically important market for M7 where our team on the ground manage a sizeable portfolio on behalf of our investors,' Ebbrell concluded.
