Real IS, the property arm of German lender BayernLB, has acquired the logistics portfolio Quarto from W&B Projektportfolio for its special real estate alternative investment fund (AIF) Themenfonds Deutschland II.
Financial details were not disclosed.
The portfolio comprises four industrial buildings which comply with the German KfW 55 energy-efficiency standard and are located in the German cities of Essen, Remscheid, Stockstadt and Weilheim.
The total area is of around 13,150 m2 (3,000 to 3,800 m2 each property), with 120 parking spaces (approx. 30 per building). The portfolio has been let on a long-term lease and is part of the branch network of the European B2B market leader in vehicle parts trading. The buildings were completed between 2019 and 2021.
The properties are situated across Germany’s Ruhr area, in the southern affluent area of the Munich metropolitan area and near the city of Aschaffenburg, within easy reach of the German motorway A3.
Axel Schulz, Global Head of Investment at Real IS, said: ‘The logistics sector has been growing very strongly for years. Through the Quarto portfolio, we are creating urgently needed storage space featuring flexible usability.
'It also suitable for last-mile logistics in addition to conventional logistics. There are two aspects that fit the strategy of our investors: full occupancy of the properties over the long term, and the high quality of construction. The long-term full occupancy of the properties and the high construction quality with KfW-55 standard align with the strategy of our investors.'
The special real estate alternative investment fund (AIF) has been investing in core and core-plus properties in Germany since 2017. The investment focus is on the office and retail sectors, supplemented by mixed-use properties, logistics real estate and hotels.
An investment volume of around €1.0 bn is planned, with a maximum debt ratio of 50%; the minimum subscription amount is €1 mln. Real IS is also in the process of implementing another investment opportunity, focussing on logistics. Marketing and distribution for this is scheduled to start in the first quarter of 2022.
During the purchase of the Quarto portfolio, Real IS obtained legal and fiscal advice from Görg Partnerschaft von Rechtsanwälten. Drees & Sommer provided technical consulting. Flos Capital Real Estate AG acted as intermediary in this transaction.
