Swiss asset manager StoneVest and an entity managed by US private equity firm Madison International Realty have launched a joint venture for the acquisition of light industrial and logistics properties in the DACH region.
The pair expect to acquire assets located in Germany, Austria and Switzerland with a total value of up to €150 mln over the next three years.
The joint venture will target new and existing properties valued between €10 mln and €50 mln, with a particular focus on sale-and-leaseback transactions and purchases of leased corporate real estate.
It has already closed on two long-lease light industrial properties in Bavaria through a capital partner replacement transaction from the Industrial Properties Europe investment platform launched by StoneVest in 2021.
The first property is in Hilpoltstein near Nuremberg on the A9 motorway and comprises 13,300 m2 of production and warehouse space on a 28,000 m2 site. It is leased to a specialist illuminated signage company.
The second property is an 8,900 m2 production and storage asset in Ettenbeuren on the A8 between Ulm and Augsburg. It is fully leased to an automotive supply company that manufactures chassis trailers for caravans and motorhomes.
Senior financing for the initial two properties has been signed with a German savings bank.
Since the launch of its Industrial Properties Europe investment platform in 2021, Zurich-based StoneVest has established sale-and-leaseback partnerships with medium-sized companies in the technology and manufacturing sectors in the DACH region.
Carey Flaherty, chief investment officer of Madison International Realty, commented: ‘We believe light industrial real estate offers numerous opportunities for attractive investments in Germany, Austria, and Switzerland due to these countries’ stable economies and diversified industrial tenant bases. The sector benefits from strong occupier demand with this strategy’s focus on sale and leaseback transactions enabling an opportunity to work with existing tenants in seeking to help them grow their businesses and secure their tenancy for the long term.’
He added: ‘We look forward to developing our new partnership with StoneVest AG, an experienced specialist in this sector, and aim to build a high quality portfolio and unlock additional value on behalf of our investors.’
Willkie Farr & Gallagher LLP served as legal advisor to StoneVest on the transaction, while Goodwin Proctor LLP assisted Madison International Realty.
