CBRE Global Investors has established a joint venture with Spanish logistics developer and manager Montepino to develop a portfolio of prime warehouse assets in core locations in Spain, initially focused on the greater Madrid market.
The JV has been launched with a portfolio of four development projects, located in prime Madrid logistics locations along the Corredor de Henares and two standing assets in Zaragoza totaling 245,000 m2. The portfolio is already 80% pre-let to logistics operators with an average lease term of 11 years at completion.
In addition, the JV has already identified a pipeline of 11 development opportunities, totaling in excess of 300,000 m2.
'This joint venture perfectly fits with our European value add strategy of creating core assets in supply constrained markets,' commented Charles Baigler, fund manager, CBRE Global Investors’ Europe Value Partners fund series. 'The logistics sector is a key focus for the fund series and we are very pleased to be in partnership with Montepino, who are a best in class logistics developer with a proven track record of sourcing and delivering high quality assets in prime locations.'
'This is a significant logistics deal for the Spanish market. We have seen the market evolve significantly over the past years with increasing demand for high quality space since 2015 and prospects remain strong,' said Antonio Roncero, head of Transactions Iberia, CBRE Global Investors.
According to Juan Jose Vera, Vice President of operations, Montepino, the creation of the JV with CBRE Global Investors enables the Spanish firm 'to maintain its leadership in the Spanish logistic market', as well as providing 'a sufficient contribution of economic resources that allow us to grow and develop the significant projects we have planned for the next few years'.
CBRE advised Montepino on the transaction.
