Cordea Savills has added another property fund to its suite of European pooled vehicles, this time being a Nordic-focused logistics fund, it revealed today. The London-based firm said it has launched the fund with an associated transaction for around €300 million of assets.
The portfolio comprises 10 prime logistic properties let to tenants such as El Giganten, DHL, Tata Steel, Ahsell and Prime Cargo, with average unexpired terms in excess of 10 years. In particular, it includes strategic assets such as El Giganten’s giant Nordic distribution hub at Jonkoping and DHL’s Gothenburg terminal. Cordea Savills will work with logistics specialist Ness Risan and Partners (NRP), based in Oslo, to manage the portfolio.
The Nordic Logistics Fund adds to an existing regional and sector-specific suite of pooled property investment vehicles managed by Cordea Savills, including one in the Nordics focused on retail. Apart from that, the firm has 12 other property funds in Europe under management.
“We are delighted to have created this new fund in a relatively short timeframe, from sourcing the opportunity and entering into exclusivity with the seller,” said Peter Brostrom, director of investment for the Nordic region. “The market now recognizes the attractive attributes of this sector with minimal speculative development, strong tenants, modern buildings and the prospects of growth generated by the increasing importance of e-commerce. Our investors have welcomed the opportunity to invest into a known, diversified, income-producing portfolio via an off-market portfolio transaction.”
Ian Jones, director of investment, added that the portfolio would be managed and held via a regulated vehicle that was set up within a two-month timeframe. “With NRP, we will now work the portfolio to maximize investment returns for our investors as there are some active asset management opportunities.”