The portfolio comprises 10 prime logistic properties let to tenants such as El Giganten, DHL, Tata Steel, Ahsell and Prime Cargo with average unexpired terms in excess of ten years. The portfolio includes strategic assets such as El Giganten’s giant Nordic distribution hub at Jonkoping, comprising ca. 100,000 sq m of accommodation, and DHL’s Gothenburg terminal. Cordea Savills will work with logistics specialist Ness Risan and Partners (NRP), based in Oslo, to manage the portfolio.
Director of Investment, Nordic Region, Peter Brostrom commented: “We are delighted to have created this new fund in a relatively short timeframe from sourcing the opportunity and entering into exclusivity with the seller. The market now recognises the attractive attributes of this sector with minimal speculative development, strong tenants, modern buildings and the prospects of growth generated by the increasing importance of e-commerce. We have arranged fixed rate finance for a ten year term with a leading financial institution, with full equity hedging, and our club of investors will enjoy distributions well in excess of 6.5% per annum from the outset, with their equity committed immediately. Our investors have welcomed the opportunity to invest into a known diversified, income-producing portfolio via an off-market portfolio transaction.”
Ian Jones, Director of Investment, commented: “This transaction is proof of our ability to deliver a complete investment solution, with our in-house teams handling investor relations, deal execution, debt arranging and tax structuring. The portfolio will be managed and held via a regulated vehicle which was set up within a two month timeframe. With NRP, we will now work the portfolio to maximise investment returns for our investors as there are some active asset management opportunities. We now have over EUR 1 billion of assets under management in the Nordics, making us a significant player with market presence and with a growing team have the capacity to take advantage of further opportunities”.
Citigate Dewe Rogerson
Patrick Evans / Stephen Sheppard / James Madsen / Alice Stewart
Tel: +44 (0)20 7282 2966