USAA RE sets up base in Amsterdam for European logistics JV

The €8.8 bn property arm of United Services Automobile Association (USAA) - a financial services provider for US military personnel - has launched its European investment operations from a new office in Amsterdam.

USAA Real Estate (also known as Realco) will initially focus on providing capital for logistics development across the Continent through a joint venture with Mountpark Logistics. The volume of financing the joint venture plans to provide was not disclosed.

Mountpark is led by John Cutts, whom Realco described as 'well known for past successes in the development and delivery of logistics portfolios on a pan-European basis'.

Realco's European office is headed by David Buck, who has been with the company since 1996, most recently as executive managing director of the firm's global logistics development. Buck will be joined by Maximilian von Below, who comes from AM alpha in Munich. At Realco, Von Below will take the lead role in European client relationship management, while working closely with Buck on investment opportunities.

SEASONED LOGISTICS BACKER
‘Having been a part of Realco's expansion within the US over the past 18 years, it is an absolute honor to have the opportunity to help lead our pan-European expansion,' Buck said in a press release. 'We are pleased to be announcing our venture with John and the entire Mountpark team, a team which has an enviable and proven reputation and track record in delivering successful and complex development projects throughout the UK and Europe. This is the first of what I am confident will prove to be many successful Realco ventures here in Europe.'

USAA Real Estate Company CEO Len O'Donnell said he was 'very excited' about the company's European investment programme. 'It is the result of more than a year of research and planning, and importantly, we are initiating our international expansion with a focus on one of our core competencies – logistics development. We have been a leader in providing capital to US developers for the last 20 years, and now I believe we can do the same in Europe,' he said. 'Our partnership with Mountpark will provide us the opportunity to move aggressively into their strategic markets, while David and Max continue to seek opportunities to expand the platform over time.'

He added, 'While Europe continues to lag the US in the current recovery, we have a positive long-term view of the European economy and see significant opportunities over the next several years. Now is the ideal time for us to begin taking advantage of those still-emerging opportunities, applying our unique combination of financial strength, expertise and unquestioned integrity as an organisation. With David and Max at the forefront of our efforts, we look forward to establishing new, productive relationships throughout Europe as we grow there.'

The European joint venture is the latest in a series of strategic expansion moves by Realco, which has $12 bn (€8.8 bn) in assets under management includes substantial investment from global institutional clients. The company has closed various investment vehicles and its portfolio includes all major property types across the US.