Hines core fund buys 3 warehouses near London for €90m

Developed in 2013, the Dnata City site comprises three logistical warehouses that provide state of the art secure air cargo campus facilities. The 19,418-m2 complex is located just south of the airport’s southern perimeter boundary and is occupied by Dnata, Heathrow’s dominant cargo operator.
 
Since 2019, HECF has sought to increase exposure to urban logistics assets in key European cities with strong long-term growth prospects. The Heathrow acquisition represents the fourth urban logistics investment by HECF, and the third in Greater London, over the last 18 months.
 
Peter Epping, senior managing director and HECF fund manager at Hines, said: ‘The Dnata City site offers excellent proximity to Heathrow. Given the heavily supply-constrained location, we see strong long-term prospects for this prime asset beside one of Europe’s busiest airports, which will be a critical part of the UK’s travel and logistics infrastructure beyond the pandemic. This latest acquisition continues our strategy of leveraging our European platform and aggregating an urban logistics portfolio for HECF in European cities with the strongest long-term growth prospects.’
 
‘In a near zero interest rate environment, coupled with a drive to own and build resilient global supply chain networks, the investment market for the best critical infrastructure and industrial property has never been stronger,’ said Nick Smith, fund manager, AIPUT. ‘This sale is in line with our strategy to adjust the AIPUT portfolio to facilitate new investment opportunities presented in the post-Covid, post-Brexit world, and leverage the economic recovery when it comes. We will redeploy the proceeds into strategic airport locations with the strongest potential to generate value, including those within our portfolio where we will secure higher returns for our investors.’
 
Hines was advised by Acre and Aberdeen Standard was advised by Savills and DTRE.