iO and REINO Capital investment vehicle acquires prime logistics park portfolio in Poland with backing from Grosvenor Group
Polish Logistics LLP, an investment vehicle established by iO Asset Management and REINO Capital, has expanded its portfolio with the acquisition of five prime logistics parks in Poland from AEW. The vehicle managed by REINO iO Logistics is backed by international property company Grosvenor Group’s Indirect Investment team.
The acquisition of the portfolio is the second investment by Polish Logistics LLP. The five logistics parks, which are in Lodz, Poznan, Sosnowiec, Bielsko-Biala and Rzeszow, total 208,992 sq m and are let to 28 tenants including, Hutchinson, Omega Pilzno, DAMCO and Pekaes.
Angus Scott-Brown and Dorota Latkowska, joint managing partners of REINO iO Logistics, says: “The portfolio provides a critical mass of purpose-built multi-tenanted logistics parks in prime locations throughout Poland. It offers strong geographic diversification in five established logistics markets and attractive granularity of income.
“The logistics market in Poland is attractive due to its location, size and growth potential. Its strategic location and ability to serve the whole of Western and Eastern Europe, its occupational costs that are some of the lowest within developed countries in Europe, its rail link to China and access to deep seaports make it a compelling market for us.
“Completing two transactions during a pandemic year is testament to all the teams involved. This latest acquisition demonstrates REINO iO’s ability to present international partners with attractive deals, acquire a variety of assets and close deals quickly. This is just the beginning of our active asset management programme, which will include implementing measures to achieve the highest ESG standards across the portfolio”.
Andy Yates, Investment Director, Indirect Investment, at Grosvenor Group, says: “We are delighted to have been able to move as quickly as we did to secure this acquisition opportunity despite the Europe-wide lockdown. We’re looking forward to working with REINO iO to add value to the portfolio and on any future opportunities”.
This portfolio acquisition by Polish Logistics LLP’s follows its first acquisition in June 2020 of Logistic City in the established logistics location of Piotrków, south of Lodz. Logistic City comprises 135,000 sq m of built and leased space and development land with the potential for a further 300,000 sq m of build-to-suit space.
The investment vehicle managed by REINO iO Logistiscs, provides a joint venture that draws upon REINO’s local market presence and iO’s specialist industrial real estate expertise. It intends to expand its portfolio through the acquisition of both standing investments and land for build-to-suit developments.
Polish Logistics LLP was advised by CBRE and Dentons; AEW was advised by JLL and Allen & Overy. Debt financing was provided by BNP Paribas Bank Polska.