AEW has acquired the Copenhagen Cargo Centre, an airside logistics asset in the Danish capital’s main airport. The purchase price was not disclosed.
The asset was acquired from Palm Capital on behalf of a separate account mandate backed by a German pension fund.
Situated directly adjacent to the airport’s runways, this prime airside logistics asset comprises a total lettable area of 26,500 sqm, including 18,500 sqm of warehouse space and c. 5,700 sqm of offices across three units, with 258 car parking spaces. Developed and expanded between 1992 and 2009, the property is almost fully let to high quality occupiers including DHL, PostNord and Worldwide Flight Services (WFS).
AEW said, in addition to the standing asset, there is also fully permitted development for an additional 5,000 sqm warehouse to the southern part of the c. 67,500 sqm site. Construction is expected to begin at the end of 2021.
AEW will undertake a refurbishment of the vacant office space in line with the extension, as well as targeting a BREEAM ‘Very Good’ rating for the whole asset in order to meet the mandate’s sustainability requirements.
Copenhagen’s Airport Kastrup is the largest airport in the Nordics and acts as a key hub for major international freight companies in Scandinavia and Northern Europe. Due to its flight path being over the sea, the airport is in the rare position to be able to operate 24/7. The property benefits from excellent multi-modal accessibility, not only from air freight, but also the E20 highway, which connects Copenhagen to Sweden and wider Denmark, as well as being next to a train terminal.
“Copenhagen Cargo Centre is a strategically located logistics asset, enabling occupiers to cater to major cities crossing both Sweden and Denmark. Situated airside at Copenhagen Airport, the asset provides rare direct access to the cargo area, as well as excellent multi-modal connections. With a strong line-up of occupiers, this acquisition generates sustainable income, which aligns with our client’s investment objectives, as well as offering an opportunity to add further value through development, which is already attracting occupier interest,” said Lars-Henning Pylla, Fund Manager at AEW.
Nikos Koulouras, Head of Investments for Private Equity Funds at AEW, added: “We are very pleased with the acquisition of Copenhagen Cargo Centre which demonstrates our ability to source and execute on a pan-European basis. Logistics has been a long-term investment focus for AEW and we will continue to target assets in strategic locations across Europe where we see the opportunity to add value, whether these are developments or standing assets, big-box or last-mile. This investment also forms part of our ambition to grow our footprint in the Nordics, not only in the logistics sector but also across residential and offices.”
AEW was advised by Lundgrens and on technical matters by KHR. The vendor was advised by Accura and CBRE.