International property REIT WP Carey has completed the €84 mln off-market acquisition of 14 automotive retail and service sites located throughout the Netherlands.
The portfolio comprises a total leasable area of 52,000 m2 and is triple-net leased to a large Dutch automotive group for a term of 17 years. Nine facilities were sale-leasebacks directly with the company and five were acquired from a global asset manager.
According to WP Carey, the portfolio comprises prime automotive retail sites located within major urban centres that, due to Dutch zoning restrictions placed on the development of new car dealerships, would be difficult to replicate.
WP Carey has an existing working relationship with the tenant, having previously completed a sale-leaseback of four sites with the company in 2018 for €29 mln.
In total, WP Carey owns 18 of the company’s sites across the Netherlands. The company has committed to a triple-net master lease for all of the facilities owned by WP Carey, which are leased for a term of 17 years with Dutch CPI-based rent increases.
Christopher Mertlitz, head of European investments at WP Carey said: 'Developing long-term relationships remains at the core of WP Carey’s business and this off-market transaction reflects the excellent partnership that we have built with our tenant.
'We are thrilled to expand our presence in the Netherlands and support our tenant as it continues to strengthen its position as a market leader.'
The deal complements the investor's existing Netherlands portfolio, where WP Carey has been investing since 2001. It has acquired over €800 mln of assets across various sectors and property types.
