UK based real estate investor Oxenwood Real Estate has made its first investment in mainland Europe with the acquisition of a portfolio of DHL Freight logistics properties in Germany. The investment volume of €71.6 mln reflects a net initial yield of 5.40%.
The six cross-docked facilities, totalling 77,340 m2, have been acquired by Oxenwood on behalf of Oxenwood Catalina, a joint venture with Bermuda-based Catalina Holdings.
The deal was structured as a sale-and-leaseback transaction with owner and occupier Deutsche Post DHL.
The properties in Duisberg, Cologne, Appenweier, Landsberg, Wurselen and Weissenhorn have been leased back by DHL Freight on a combination of 10 and 15-year triple net leases.
'For some time we have been looking for an appropriate opportunity within mainland Europe to continue the growth of Oxenwood,' said Stewart Little, co-founder of Oxenwood. 'The fundamentals of the market are very attractive and we believe will complement our UK portfolio well. The seed portfolio with long leases and a triple net cash flow are an excellent place to start and we look forward to further expansion of this element of our portfolio. The opportunity to work with DHL was also a determining factor.'
Oxenwood was advised by CBRE and Deutsche Post DHL was advised by JLL.
