Logistics and industrial property specialist Garbe Industrial Real Estate has raised around €200 mln through a second closing for its investment fund, Garbe Logistics Real Estate Fund Plus III (GLIF+III).
Together with the first closing in late June, the new pan-European fund has raised a sum total of €600 mln originating from German, European and Asian investors.
Another closing is planned before the end of this year. The Article 8 fund, with manage-to-ESG strategy, takes the form of a Luxembourg special alternative investment fund (SICAV-RAIF) without maturity.
Christopher Garbe, managing partner of Garbe, said: 'Overall, we received nearly €600 mln in capital commitments by German and international investors from elsewhere in Europe and from the Asian region.
'This enabled us to place a fund with pan-European investment focus among international investors. As a result, we have seriously expanded our investor base, and are now in an even better position to operate on the market.
'This marks an important step for Garbe in its effort to establish itself as a leading pan-European manager for industrial, logistics and technology real estate.'
Moreover, two recently acquired logistics properties with a combined investment volume of €170 mln will be added to the portfolio of the GLIF+III fund. Both of the new buildings are fully occupied and located in Germany.
The fund portfolio now comprises 24 assets with a combined investment volume of €720 mln, has an occupancy of 96%, and a weighted average lease term of over ten years.
Dr. Peter Bartholomäus, member of the Management Board of Garbe, added: 'The logistics sector is booming and marked by an unchecked demand for floor space.
'Buildings are particularly important for the growing warehousing needs, so as to ensure the integrity of supply chains. This makes immediate sense to our investors.
'We are therefore quite confident that we can move ahead with yet another closing before the end of this year, not least because our project pipeline permits rapid capital calls despite the keen demand for logistics real estate on the market.'
The acquisition pipeline for GLIF+III comprises more than €1 bn of assets, and with a planned investment volume of €5 bn, represents Garbe’s largest pan-European fund for institutional investors to date.
The focus is on logistics assets in the core-plus segment, with an add-on component of selected core- and light-industrial properties. The strategy is supplemented by property developments and value-add properties.
