Pramerica creates EUR 100m jv with Panattoni

Pramerica Real Estate Investors has created a new joint venture with Panattoni Europe to develop a portfolio of up to EUR 100 mln of Class A logistics warehouses in Poland, Czech Republic and Slovakia.

The JV has closed with an initial 32,000 m² pre-leased seed asset in Poland, and is pursuing three additional Polish assets totalling in excess of 45,000 m².

Pramerica is the real estate investment and advisory business of New York-listed Prudential Financial.

The JV will target new developments with a minimum area of 10,000 m2, which will be at least 50% pre-let before construction will start. It will invest over a period of 18 months and a minimum of 65% of its total assets will be in Poland.

Pramerica and Panattoni have established the JV to take advantage of continuing demand from occupiers for prime logistics space in Central and Eastern Europe, and Poland in particular, as well as growing investor demand for this type of product in the region.

This is Pramerica's second JV with Panattoni in Poland. The two parties have developed 11 buildings together to date, totalling around 241,000 m² of Class A industrial space in the country.

'We are pleased to be able to further develop our successful logistics investment strategy with Panattoni, which is well known for building and leasing high- quality logistics space,' said Max Kreuter, portfolio manager, Pramerica Real Estate Investors. 'We believe the creation of this joint venture will allow us to access the growing demand for logistics space in Poland and Central and Eastern Europe.'