GLP completes acquisition of Gazeley, creates two new European funds, names CEO

Global Logistic Properties (GLP), a leading warehouse operator in Asia, has completed its acquisition of Gazeley, a developer, investor and manager of European warehouses and logistics platforms.

As part of this transaction, GLP created two new funds and increased the size of its fund management platform by $4 billion to $43 billion.

With this transaction, GLP integrates Gazeley’s portfolio valued at $2.8 billion and a local management team into its platform. The company intends to retain the current management team as well as the Gazeley brand.

“Europe is a market we have been exploring for some time and this acquisition fits in perfectly with our business model at the right time,” said Steve Schutte, GLP’s director of operations. “Our strategy is to develop our fund management platform, while expanding our global footprint. We are committed to a long-term growth strategy in Europe and we are delighted to continue to develop the Gazeley brand.”

The first fund created by the company, GLP Europe Income Partners I (GLP EIP I), includes a portfolio of Gazeley operating assets of $2 billion in the main European markets of the United Kingdom, Germany, France and the Netherlands.

The second fund, GLP Europe Development Partners I (GLP EDP I), is a vehicle in development that should reach $2 billion once fully mobilized and invested. It is based on developable land that can support 15 million square feet of building area.

GLP observes a demand from major international investors, including sovereign wealth funds, pension plans and financial institutions. These co-investors have financed approximately 24 percent of the capital contributions alongside GLP, which plans to complete the financing by approximately 85 percent by April 2018.

Gazeley also announced that Nick Cook, COO, will serve as president and CEO for Europe after working at Gazeley for nearly 15 years.

Pat McGillycuddy, the current CEO and one of the founding members of Gazeley, will become Gazeley’s non-executive chairman after 30 years of service.