HANSAINVEST Real Assets plans to invest around €300m in logistics properties by the end of 2019

HANSAINVEST Real Assets GmbH intends to significantly expand its logistics property portfolio. The firm plans to acquire logistics assets with a volume of €200 million to €300 million ($235 million to $350 million) by the end of 2019.

The acquisitions will be concentrated on the core markets of Germany, Benelux and the United Kingdom. Selected properties may also be acquired in France, the Nordics, Spain and Poland. A total of between six and eight properties will be acquired.

With this in mind, HANSAINVEST Real Assets is expanding its property team, appointing Philipp Middendorp as the new head of logistics acquisitions for the Hamburg-based real asset manager. Middendorp has extensive experience of transactions involving logistics properties in Germany and internationally. “In terms of risk classes, we intend to acquire core and core-plus properties,” said Middendorp. “We will also pay close attention to the potential alternative uses of the properties. We intend to acquire primarily traditional logistics assets, including warehouse, distribution and transshipment properties. Alongside portfolio properties, we will also focus on acquiring development projects.”

Middendorp, continues, “There is huge demand for logistics properties among national and international market participants. The only way to continue to realize attractive investments in this environment is with a broad market approach. In particular, sale-and-leaseback transactions are one way of achieving this, as they typically allow for longer, investor-friendly leases — +10 years.”

The logistics market is attractive to investors thanks to its stable rental demand, and this will remain the case in the near future. For example, demand for space in Germany remains high. Although there is a relatively large volume of new construction activity at present, demand continues to outstrip supply, particularly at established logistics locations.