Peakside buys 85,000 sqm logistics site near Nuremberg

Peakside buys 85,000 sqm logistics site near Nuremberg

Peakside Capital Advisors has purchased an 85,000 sq.m. logistics site with an existing property as well as development land in Burgbernheim in the Nuremberg metropolitan area from a private seller.

The price was in the low two-digit-million-euro range. The asset will become part of the Peakside Real Estate Fund IV (PREF IV).

Peakside plans to modernise the existing multi-tenant building on site (Im Grund 2-4) in line with today’s ESG requirements and to develop two additional logistics assets with 10,000 sq.m. and 16,000 sq.m. of GLA, respectively. All properties can be flexibly configured, with units starting at 5,000 sq.m., and are equipped with water protection sheeting (WGK III).

Peakside expects to start construction at the beginning of the third quarter. Renovation works are slated for completion in spring 2024, that of the new buildings towards the end of 2024.

Peakside aims to reach a sustainability certificate of the highest level (DGNB Platinum) from the German Sustainable Building Council for the two new assets. Contributing factors will be the installation of solar panels on all roofs over logistics spaces, green roofs on the office parts and the installation of heat pumps for temperature regulation. The outdoor spaces will feature wildflower meadows, nesting aids and natural habitats which will not only strengthen the local ecosystem but also provide for high-quality spaces for employees on site.

Boris Schran, Managing Partner at Peakside, says: “We continue to expand our logistics portfolio in Germany as well as in Poland. The long-term drivers of the industry, such as the still growing online retail sector, a shortening of supply chain and increase in storage capacity, provide for attractive investment opportunities at established locations, even in difficult investment phases.”

Burgbernheim is close to Rothenburg ob der Tauber, on the A7 motorway which quickly links to the A3 in the North and the A7 in the South. Located between Nuremberg, Würzburg and Heilbronn, it is part of the Nuremberg metropolitan area which encompasses around 3.5 million inhabitants and is amongst the strongest economic regions in Germany.

Simon Lutz, Partner at Peakside, adds: “With the acquisition in Burgbernheim, we secured an asset with existing cashflow and significant value-add potential for our investors. As a brownfield with expansion opportunity, it is an ideal fit for the ESG strategy of PREF IV.”

For the discretionary PREF IV fund, Peakside plans to invest more than 1.2 billion euro in value-add properties across Germany.

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