REAL estate giant Mapletree Investments has acquired its first logistics property in the UK and 10 warehouses in Spain for a total of about 315.1 million euros (S$444.5 million).
The properties, totalling a net lettable area of about 256,000 square metres, will also make up the seed assets of the group’s second European logistics-focused fund, said Mapletree on Monday (Jan 27).
The fund will be launched at an appropriate time after achieving sufficient scale, said the group.
Ralph van der Beek, Mapletree’s chief executive of commercial and logistics in Europe, noted that the logistics sector is “highly attractive” amid “strong demand from occupiers as well as investors”.
The e-commerce industry is fuelling the growing demand as they continue to “secure and expand their supply chains”, he pointed out.
The newly acquired UK logistics hub is located in Derby Commercial Park, near the city centre and East Midlands Airport. The tenant at the asset recently renewed its long-term lease, said Mapletree.
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The portfolio of logistics assets in Spain are situated across Barcelona, Valencia and Madrid. As they are located in core logistics hubs, which offers “immediate access to the city centre”, the properties are ideal for hosting last-mile activities, said the real estate giant.
“Demand for the space is fuelled by the undersupply of modern logistics stock in the neighbouring areas,” it added.
“These assets benefit from the strong tenant base of leading third-party logistics providers and manufacturers which are highly committed to the properties due to proximity to their production facilities and investments dedicated to automation and fit-outs on site,” said Mapletree.
In the near-term, the group wants to “expand and fortify” its onshore development capabilities and acquire well-positioned assets in Europe and the UK.
The group also owns and manages office, mixed-use and student housing properties in the two markets, totalling more than 4.3 billion euros as at Mar 31, 2024.
The group now has 80 assets across eight countries since entering the European logistics market in 2018. Among these assets, 62 are held under Mapletree US and EU Logistics private trust, which invests in a diversified pan-American and pan-European portfolio.
Mapletree Investments is the manager of three real estate investment trusts listed on the Singapore Exchange: Mapletree Logistics Trust, Mapletree Industrial Trust and Mapletree Pan Asia Commercial Trust.
