CBRE GlP inks acquisition of €350m European logistics package

CBRE Global Investment Partners (GIP) has completed the acquisition of a €350 mln European logistics portfolio, comprising seven assets across France, Germany, the Netherlands and Spain.

The 600,000 m2 portfolio includes Villabe in France, Straubing in Germany and Alovera in Spain. CBRE GIP acquired the assets from existing clients of TH Real Estate and financed the deal with a €138 mln loan from pbb Deutsche Pfandbriefbank.

TH Real Estate will continue to manage the portfolio on behalf of GIP and will seek further acquisitions, primarily in markets such as France, Germany, Spain and Benelux. Investments into CEE will also be considered.

'The acquisition gives our investor clients exposure to a high-quality portfolio of logistics assets in strategic locations across Europe,' said Jeremy Plummer, head of CBRE Global Investment Partners. 'Our goal is to complement the existing portfolio with further acquisitions of similar quality.'

Thorsten Kiel, portfolio manager and head of logistics, Europe and fund manager for the vehicle, TH Real Estate, said that the Group has identified European logistics 'as one of the key asset classes which a diversified, income-focussed investment strategy should take advantage of'.

'Good quality buildings in well-established logistics hubs are expected to deliver strong income returns, particularly in the Western and Southern European markets, where the spread between bonds and prime logistics yields are still more than 450 - 550 bps. This seed portfolio, spread across four attractive markets, exhibits a sound degree of risk diversification, and delivers high and stable income,' added Kiel.