Cording Real Estate Group, member of the Edmond de Rothschild Real Estate investment and asset management platform, has launched its newest fund, Cording Euro Industrial Real Estate Fund, which will invest in light-industrial and small logistics assets in the euro zone.
The fund has a core-plus risk profile and is aimed at institutional investors. The open-ended fund has been launched with equity commitments from Edmond de Rothschild and from a mandate managed by the multi-manager real estate team of Credit Suisse Asset Management, which was actively involved in the structuring of the fund, optimizing it for institutional investors.
The fund will invest in light industrial and small logistics properties, delivering sustainable income distributions over a long-term holding period. The team has secured a strong pipeline of investment opportunities and has already signed the acquisition of seven assets.
Cording currently holds more than €300 million ($337 million) of industrial properties under investment and asset management. It has achieved strong growth over the last five years, showing very good performance in all its industrial mandates.
Reiner Beckers, head of business development at Cording, said, “We believe this is a perfect time to launch an industrial fund. There is the opportunity to benefit from expected rental growth owing to the demand for space outstripping supply. This is particularly true of industrial sites in urban areas. We also aim to enhance income through our proven active asset management initiatives.”
The open-ended fund is domiciled in Luxembourg in the form of an FCP-RAIF. Pancura S.A. is the Alternative Investment Fund Manager and Aztec Group is the Central Administrator. Cording was advised by Clifford Chance in Luxembourg and Frankfurt. EY advised on the structuring of the fund.
