Arrow Capital Partners has acquired a 24,581 sqm commercial and industrial site in Ludwigsfelde, southwest of Berlin, to develop into a modern industrial park with a gross development value of ca. €20 million.
This deal together with the recent acquisition of a brownfield site in the industrial harbour of Bremen highlight an expansion of the group’s broader European urban logistics development portfolio, which includes around €150 million of projects in Germany and €1 billion across the rest of Europe in the UK, Netherlands, Poland, Germany, Spain and Italy.
Commenting on the transaction, Danilo Hunker, Head of Germany at Arrow Capital Partners, said: “We believe this is an opportune time to add developments to our growing urban logistics portfolio in Germany because of the strong underlying occupier market and lack of suitable existing assets.
“To achieve this, we’re targeting forward funding and forward commitment opportunities with a selection of specialist regional and mid-size local logistics developers as we aim to lock in a pipeline of new and more sustainable assets.”
Located on the strategically important Berlin “Autobahnring”, the new park at Ludwigsfelde will comprise two buildings divided into multiple warehouse units with a total lettable area of 11,331 sqm. Each unit will have at least one ground floor access and one loading dock per unit.
The property is developed to suit a broad range of occupiers in response to the demand in the submarket for modular industrial space.
The surrounding area is well served by major transport routes including an intersection with the A10 motorway and is an established light industrial zone serving a range of well-known occupiers such as Zalando, Lidl, Fiege and DB Schenker.
Hunker, added: “We’re on the lookout for more sites like this, as well as land with the potential to develop across the entire industrial and logistics spectrum, including sites like Falkensee Park, which we are developing in joint venture with a large international logistics development partner and is due to be finished in Q3 this year.”