Pan-European logistics real estate specialist Verdion has announced a significant expansion of its Verdion European Logistics Fund 2 (VELF 2) with a €150 mln closing.
CBRE Investment Management has committed the additional funding, bringing the total size of VELF 2 to three times its initial target. The fund's value-add strategy focuses on acquiring and improving underperforming logistics properties in key Northern European locations.
VELF 2 has already acquired and completed its first asset: a DGNB Gold-certified distribution center in Horsens, Denmark, pre-leased to Danish ladieswear brand Zizzi.
Verdion's inaugural fund, VELF 1, reached its final close in 2020 with €158 mln raised. It is fully invested and has deployed €310 mln on the acquisition and enhancement of eleven logistics assets across Germany, the Netherlands, Denmark, and Czechia.
Verdion has successfully sold a facility located near Prague Airport to UPS and is actively marketing two other properties in Germany and the Netherlands for sale, while business plans for these properties have been finalized.
Simon Walter, executive director – Investment Management, at Verdion, said: "This is a significant step forward for the fund, signaling continued confidence in our approach amidst challenging capital-raising conditions. We are now set to transact on a substantial pipeline of attractive acquisitions and leverage Verdion's deep sector expertise, focus on technical innovation, and vertically integrated team to deliver further high-quality logistics assets with excellent ESG credentials."
Verdion also stated that VELF 2 fundraising continues.
The company has built a €2.5 bn European logistics portfolio comprising both new developments and existing assets, strategically located across Germany, the UK, the Nordics, and Benelux. The current development pipeline exceeds 1.1 million m2.
