Since its launch in 2014, the German special fund has invested in eleven logistics properties in Sweden, Denmark, Finland and Norway. The aim of the fund was to benefit from stable income streams and sell all properties after a holding period of ten years. An IRR of over 12 percent at fund level was achieved, significantly exceeding the target of 8 percent.

The sale in Finland followed the successful implementation of asset management measures to further upgrade the logistics property. The building, located north of Helsinki, was expanded by around 11,000 square meters of lettable area, which involved merging two plots, moving an access road and making changes to the infrastructure. With at least 18 e-charging stations, additional solar panels and so-called rain gardens, the sustainability features of the property were also further optimised and the asset just received BREEAM Excellent certifications in both BREEAM New Construction and BREEAM In-Use. The total rental space of 47,000 square meters is now fully let to the Swedish building materials supplier Ahlsell, which played a key role in the expansion project and has committed to the site for the next 15 years.

“The Nordic Logistics Club Deal was designed for a term of ten years. The fund strategy worked out very well - with an average distribution of over 6.5 percent p.a. and an IRR of over 12 percent, as a result of dedicated asset management work such as renewal of leases, building extensions, ESG upgrades and building retrofits. We manage real estate worth around 1.5 billion euros in the Nordics in various funds and mandates. In view of the now increasing investment opportunities, we are planning to further expand the Nordic platform,” says Peter Broström, Head of Nordics at Savills IM.

“We are delighted with the very good result that we were able to achieve for the investors in the Nordic Logistics Club Deal with this sale. The transaction market for logistics properties in the Nordics has recently picked up and we are actively searching for strategic logistics investments in the right locations in the Nordics for various funds and mandates,“ says Lisen Heijbel, Head of Investment Nordics at Savills IM.

Savills IM was advised on the transaction by JLL and Krogerus.