Pan-European investor and asset manager M7 Real Estate has sold a light industrial portfolio in the Netherlands to the Canadian real estate investor, Dream Industrial REIT, on behalf of M7 European Real Estate Investment Partners IV, for €140 million. M7 will be retained as advisor for the portfolio.
The portfolio comprises 31 high quality light industrial and logistics properties that were acquired by M7 between October 2016 and June 2018 through 12 separate transactions and it provides significant scale in a highly fragmented market. The total portfolio spans c.192,000 sq m and is 96% let to over 70 tenants, providing a diversified tenant mix.
The assets are primarily concentrated in the country’s major urban centers including Amsterdam and Rotterdam, with over 87% of the properties located within 30 km of their respective city centres. Their strategic location means the assets serve as key last mile distribution hubs and capture growing demand for space in these markets from e-commerce businesses.
”This disposal demonstrates M7’s ability to identify and assemble a portfolio of assets with strong potential and to stabilize them through our asset management expertise, creating an institutional grade investment product while also delivering attractive returns for our investors,” said Simon Cowley, Divisional Director, Investment Management at M7. ”We look forward to working with Dream Industrial REIT to help maximise their returns.”