Savills Investment Management acquires logistics building in Hamburg
26th November 2024
London, 26 November 2024. Savills Investment Management (Savills IM), the international real estate investment manager, has acquired a newly built logistics centre in Hamburg-Billbrook as part of an off-market transaction. The seller is ECE Work & Live, which planned, developed, realised and let the property. All parties have agreed not to disclose the purchase price.
The purchase is the first logistics transaction as part of an investment mandate for a German investor, which aims to build up a logistics sub-portfolio. The focus is on core properties in prime logistics locations. The purchase agreement has been signed; completion is to take place by the end of the year.
The Grade A logistics centre in Hamburg-Billbrook, which was completed in September 2024, consists of three units and comprises a total of around 28,600 sqm of rental space, which is fully let to Pandora and Kühne + Nagel on a long-term lease. The property can be divided into up to five rental units if required, ensuring a high degree of flexibility when it comes to re-letting.
The asset is built to high specifications and has excellent ESG credentials. It is built in accordance with the GEG 40 standard (Building Energy Act) using sustainable building materials and has a high level of energy efficiency. Thanks to a photovoltaic system on the roof and efficient heating systems, the building is carbon zero. Storage areas have natural lighting, and hall areas have optimised temperature control. The building’s high ESG standards are also reflected in its DGNB Platinum certification, which is currently being sought.
The Hamburg metropolitan region, one of the most competitive in Europe, is strategically located at the centre of the most important European transport axes between Scandinavia, Western, Eastern and Southern Europe. Germany's largest port location is an important logistics hotspot thanks to its excellent infrastructural connections. Hamburg-Billbrook is one of the most sought-after logistics locations within the Hanseatic city and benefits from high demand for logistics space across all sectors, high-quality local infrastructure and excellent connections to the highway network and Hamburg city centre. More than 1,000 companies from over 20 sectors are located in the Hamburg-Billbrook submarket.
Savills IM was advised on the transaction by Luther Rechtsanwaltsgesellschaft mbH (legal and tax), apc consults (technical) and BNP Paribas Real Estate Consult (commercial). ECE Work & Live was legally advised on the sale by Taylor Wessing (Fenge / Heim team).
David Seydt, Portfolio Manager at Savills IM, says:
“We are very pleased that we were able to secure this high-quality logistics property with excellent ESG characteristics and long-term leases in a prime Hamburg logistics location for our investor off-market. Now is precisely the time to invest in logistics real estate on an anti-cyclical basis - the sector continues to benefit from stable fundamentals, and recent price corrections offer an ideal entry point.”
Tim Ulrich MRICS, Head of Transaction Management Germany, Savills IM adds:
“The logistics real estate market in Hamburg has many older existing properties. Due to a land shortage in what is a very logistics-intensive area, newer logistics properties are mainly located in the suburbs of the city. This acquisition, located in the largest industrial area outside the port of Hamburg, has a truly unique selling point. We are still on the lookout for modern properties in established logistics locations for the investment mandate and our logistics funds.”
The project was supported by climate protection funds from the Hamburg Climate Fund.
CONTACT US
Citigate Dewe Rogerson
Will Easton
+44 (0)20 7025 6400
SavillsIM@citigatedewerogerson.com
Logistic investment mandate for German investor