– Third core diversified income transaction boosts strategy to invest €500 million –
Europa Capital, the pan-European real estate investment manager, has completed the acquisition of a newly refurbished, 21,054 sq m logistics asset in the Netherlands as part of an investment strategy into core diversified income assets in Europe, which is being seeded by capital from Mitsubishi Estate, Europa Capital’s principal shareholder. The purchase follows shortly after the acquisition of a Paris office as part of the same strategy and expands this portfolio to three assets in three countries in the office and logistics sectors.
In the short term, Europa Capital will primarily seek additional investments in office, logistics and residential assets and is targeting an investment capacity of up to €500 million sourced from institutional investors in Europe, Asia and the Americas.
The property, which is fully leased to three high quality tenants, Nokia, Saint Gobain, and Enexis, is located on Atlasstraat in the modern Vossenberg II industrial estate in Tilburg. Tilburg is one of the Netherlands’ primary logistics hot spots, which benefits from its strategic location close to the north-south and the east-west distribution corridors, as well as a multi-modal transport network that includes a well established road network, one of the largest barge terminals in the Netherlands with direct shipping access to and from the port of Rotterdam, and rail links with direct trains to China.
The first of the other assets in the core diversified income portfolio comprises a multi-let office building in Munich, Germany, where Europa Capital has increased occupancy from 90% to 100% in 15 months since acquisition. The second asset is the 7,980 sq m Imagine office building in Neuilly-sur-Seine, an established and attractive office district between the Paris CBD and La Defense, which was acquired last week.
The combined Paris, Munich and Tilburg transactions take the total investment for Europa Capital’s diversified income strategy to over €155 million with further acquisitions being targeted by the end of the year.
James Farmer, Transaction Director at Europa Capital for Core Products commented: “We have acquired an asset in undoubtedly one of the strongest logistics locations in the Netherlands, which benefits from compelling occupational market dynamics that should translate into strong diversified income performance for this strategy. We intend to follow up this acquisition with further investments into the logistics sector, which is buoyed by structural changes in retailing, e-commerce and supply chains, with a particular focus on the Dutch market.”
Andy Watson, Partner at Europa Capital, commented: “This third acquisition plants a flag for the diversified income strategy in each one of our three main target markets: France, Germany and the Netherlands. In selecting this stock, we see three buildings which are deliberately diverse by sector and location but share a common theme: locations in undersupplied markets with healthy demand and which have begun to see real income growth. In the short to medium term, there are strong prospects of further income growth at these properties. In the longer term, these are locations which should remain liquid in both occupational and investment markets”.
Europa Capital was advised by ARC Real Estate Partners and Lexence.
For further information, please contact:
Dido Laurimore/ Richard Sunderland/Tom Gough/ Eve Kirmatzis
FTI Consulting
Tel: 020 3727 1000
EuropaCapital@fticonsulting.com
Notes to Editors:
About Europa Capital:
Europa Capital is an established real estate fund management group operating across Europe adding value through risk-based acquisition strategies and active asset management on behalf of its investors.
Since 1995, Europa Capital has collectively raised nine real estate funds and committed to over 130 transactions totalling more than €11.0 billion across 19 European countries.
The Europa Funds benefit from Europa Capital’s established network of partners across Europe who co-invest in acquisitions made by the Europa Funds. These country and joint venture partner relationships in some cases extend back more than 20 years.
Europa Capital is a member of Rockefeller Group International, Inc. (“RGI”), a subsidiary of Mitsubishi Estate Co. Ltd. RGI is a strategic investor alongside Management. Europa Capital Partners LLP and Europa Capital LLP are authorised and regulated by the Financial Conduct Authority.
Further information can be found at www.europacapital.com
