European real estate manager Triuva and German logistics specialist Garbe Industrial Real Estate have launched a pan-European logistics fund targeting a total investment volume of €300 mln.
The Triuva Garbe Logistik Europa Fund is structured as a Spezialfonds institutional investor vehicle and has secured an initial mandate of €100 mln from a German insurer, as well as completing its first deal with the acquisition of the XXL Distribution Centre in the Dutch city of Ede.
The fund is seeking assets principally in the German, French, Benelux and Spanish markets.
'The Triuva Garbe Logistik Europa Fund is well matched to the investment demands of the insurance industry as it is unleveraged and therefore low risk, but still offers solid returns due to the attractive yield spread of the logistics sector over the other main real estate asset classes,' commented Wenzel Hoberg, CEO of Triuva.
'Initial yields on logistics properties in Western Europe are roughly 150 basis points higher on average than those on offices and about 220 basis points above retail space. Our partnership with Garbe also brings the optimal combination of Triuva’s in-depth knowledge of local markets through our network of European offices and their specialist expertise in logistics.'
Dutch deal
The fund's debut deal, the XXL Distribution Centre in the Netherlands, is a core-plus investment property, with a total leasable area of more than 40,000 m2.
The financial details were not disclosed, but PropertyEU Research has established the price was €26 mln.
The logistics asset is located in the Frankeneng Business Park in Ede, and was sold for an undisclosed sum by the De Ijsgvogel Groep, which will remain the principal long-term tenant.
The Triuva Garbe Logistik Europa fund is the successor to the IVG Garbe Logistik fund, which is now fully invested with assets under management of approximately €300 mln.
'Strong market forces, including the expansion of e-commerce and contract logistics, are driving the high demand for space in the sector. On the supply side, it is also extremely difficult to find suitable new development sites for logistics centres, so we continue to see a superb market outlook for logistics properties as an investment asset class,' concludied Christopher Garbe, CEO of Garbe.
Triuva was advised on the acquisition by Bicker Vastgoed (commercial), CMS Derks Star Busmann (legal), DVPC (technical) and PWC (tax).
The seller was advised by Colliers (commercial) and DLA Piper (legal).
