Mapletree Investments has recently announced the purchase of its first ever logistics property in the United Kingdom and an additional 10 warehouses in Spain for a total value of approximately EUR315.1 million ($444.5 million). With a combined area of 256,000 sqm, the acquired assets will be part of the initial holdings of the group’s second European logistics-focused fund. This move by the company is in line with its strategy to deepen its focus on the logistics sector and expand its global presence, as highlighted in the press release on January 27.
The launch of the fund will take place at a suitable time after reaching a significant scale. Ralph van der Beek, the CEO of Mapletree’s European commercial and logistics arm, explains that logistics continues to be an attractive sector that garners strong demand from both tenants and investors. He further adds that the thriving e-commerce industry and an increasing focus by companies on securing and expanding their supply chains have contributed to this trend.
Van der Beek also mentions that the company is looking forward to the stable and recurring returns from these assets over the long run. The UK property is situated in Derby Commercial Park, with easy access to major arterial roads such as the M1, A50, and A6. It is also in the vicinity of the city center and East Midlands Airport. The tenant at this asset recently renewed their long-term lease, making it an excellent addition to the portfolio.
The 10 warehouses in Spain are located in core logistics hubs in the first rings of Barcelona, Valencia, and Madrid. These areas provide quick access to the city center through various transportation modes. According to Mapletree, third-party logistics providers and manufacturers have already shown a strong commitment to these properties due to their proximity to production facilities and investments in automation and fit-outs on site.
With these acquisitions, Mapletree now has a total of 80 logistics assets across eight countries. This further strengthens the company’s position in the logistics sector and enables it to tap into the promising opportunities in the European market.