Pan-European urban logistics platform Crossbay has agreed a €400 mln debt facility with global investment bank Citi to help fund its continued growth and expansion across Europe.
The platform, which focuses on single-tenant distribution centres, was created in May of last year by investment manager Mark, formerly known as Meyer Bergman. Crossbay recently raised €550 mln in equity, with investors including Credit Suisse, CBRE GI and Nuveen.
The new facility includes €180 mln in commitments covering Crossbay’s near-term and advanced pipeline, which includes assets in the Benelux region, Germany, Spain, and France. Crossbay will also have access to a €220 mln debt accordion to support future acquisitions.
Citi has previously financed a number of logistics portfolio acquisitions in Europe. Today’s announcement further grows the bank’s exposure to logistics real estate, which has proven one of the most resilient during the Covid-19 pandemic.
Marcus Meijer, CEO of Mark, said: 'The debt facility announced today combined with the recent capital raise will allow us to continue to grow and expand Crossbay.
'To have negotiated debt financing for a pan-European portfolio during the major upheaval caused by Covid-19 is a testament to the hard work of our teams and also the strength of the Crossbay platform.
'The growth of last mile logistics is underpinned by technologically-driven structural shifts that pre-date the pandemic and we continue to see opportunities for growth not only in this specific sector but logistics real estate more widely.'
Rob Hughes, director at Citi, said: 'Crossbay represented a unique opportunity to finance a genuinely pan-European last mile logistics portfolio of scale comprising high-quality assets in core markets.
'Logistics real estate, and urban logistics in particular, is underpinned by solid market fundamentals and long-term growth drivers that make it highly attractive as an asset class.'
Crossbay’s 500,000 m2 portfolio hosts a high-profile tenant base, counting leading 3PLs such as FedEx and DHL, as well as major e-commerce brands like Amazon, as occupiers. Its assets are strategically positioned in locations no more than a 90-minute journey from the centre of the nearest city.
