Oxford Properties Group ,a leading global real estate investor, asset manager and business builder, has acquired two portfolios containing a combined 57 urban logistics and light-industrial assets from funds managed by M7 Real Estate for €360 million.
The investment progresses Oxford’s plan to deploy greater capital into higher conviction investment strategies. Which includes growing its exposure to global logistics where it continues to invest in, build and buy the physical infrastructure that serves the digital economy. M7 Real Estate will continue to asset manage the portfolios on behalf of Oxford, as part of Oxford’s strategy to back and build a series of world class real estate businesses with world class management teams.
The 223,800 sqm Danish portfolio, comprising 27 urban logistics and light industrial assets, is Oxford’s first acquisition in the Nordics. By value, 50% of the portfolio is located in Greater Copenhagen with a further 22% in Denmark’s Triangle region, an established logistics location that serves all major Danish population centres and the German border, due to its central location. The occupier base is well diversified across approx. 75 tenants, with the majority operating in the transport & distribution (3PL), e-commerce & retail and manufacturing sectors.
The French portfolio comprises 169,000 sqm of urban logistics and light-industrial space, with the large majority of the 30 assets located in the Greater Paris area and the remainder situated along the north-south logistics corridor through central France. The income streams are well diversified, underpinned by 120 occupiers ranging from SMEs to large corporations.
Across both portfolios there is significant opportunity to drive further value from the assets through active asset management to modernise the properties, improve occupancy, strengthen the income profile of the portfolios and increase the sustainability performance of the assets.
As a result of its investment activity over recent years – including last month’s purchase of a US$2.2 Billion, 149-asset U.S. light-industrial portfolio from KKR – logistics now represents the largest allocation of Oxford’s capital within its global real estate portfolio.
Source : Oxford