VGP, Deka Immobilien complete second closing in 50-50 ‘RED’ JV

VGP NV and Deka Immobilien have signed the second closing between VGP and their 50-50 joint venture, RED (The Fifth Joint Venture).

The transaction comprises two logistics buildings and a multi-story car park developed in parks that have transferred to the joint venture in the first closing. At the time of the first closing, these assets were still under construction.

The two buildings are located in VGP Park Giessen Am Alten Flughafen and VGP Park Berlin – Oberkrämer and are fully leased to Zalando (Giessen), Toussaint and BTG International

The transaction with RED will be the second closing out of a pre-agreed series of three in which the full portfolio of 20 buildings will be transferred to the JV. The pricing of the full portfolio was pre-agreed at the time of the initial closing. This transaction consists of €281 million ($299 million) of gross asset value and with the transaction VGP will generate €203 million ($216 million) in net cash proceeds.