NBGI enters Poland with logistics buy

Standard Life Investments’ Select Property Fund has sold Panattoni Park Garwolin, a 25,940 m² logistics property located in Garwolin, Poland, to NBGI Private Equity. The deal is NBGI's first in the Polish market.

Developed by Standard Life Investments and completed in September 2008, the park is 100%-leased to global cosmetics giant Avon on a long-term basis. The Class A warehouse is situated on a 10 hectare site close to Avon's major production facility in Garwolin, Poland, about 60 kms from Warsaw.

Commenting on the sale, Andrew Jackson, Investment Director, Standard Life Investments, said: 'Panattoni Park has been a very successful development for our Select Property Fund. The sale forms part of our strategy to recycle stabilised assets to enable Standard Life Investments to develop other commercial property in the European market for the benefit of the Fund.'

James Huckle, Investment Director at NBGI said: 'Panattoni Park Garwolin fits our investment strategy of buying Class A logistics assets with long-term leases to first-class tenants. Poland's rapidly growing economy is very compelling and we are pleased to make our first investment here. We expect to make further acquisitions in Poland and CEE in line with this strategy.'

NBGI is carrying out the investment from its EUR 80 mln Private Equity Real Estate fund which invests in property-backed assets in central, southern and eastern Europe. The Fund focuses on development projects and existing assets including office, logistics and warehousing, industrial and retail.

Neil Gregory-Eaves of Colliers International who represented Standard Life Investments in the sale, said: 'NBGI PE has acquired a core logistics property with the added benefit of expansion possibilities. Liquidity in the logistics investment market in Poland is growing with buyers and lenders returning in numbers which bodes well for the market going forward.'

NBGI Private Equity is a leading European private equity and venture capital investment firm founded in 2000, currently managing approximately EUR 900 mln across a number of different funds. The firm has offices in London, Manchester, Paris, Athens, Istanbul, Sofia and Bucharest.

Standard Life Investments is the 17th largest property manager in the world (Watson Wyatt, 2009 Global Alternatives Study). With assets under management of £143 bn (EUR 163.7 bn), it is one of Europe’s major investment houses. Standard Life Investments operates in the UK, Canada, Ireland, Hong Kong and the US, and has representative offices in Germany, France, South Korea and Beijing. Standard Life Investments also operates in India through a joint venture, HDFC AMC.