Barings, one of the world’s largest diversified real estate investment managers, has agreed to the sale of a 188,000 sq m portfolio of pan-European logistics assets to Swiss Life Asset Managers. The disposal follows the successful execution of Barings’ business plan for the portfolio as part of its core investment strategy. 

The portfolio comprises ten assets strategically located in key logistics markets across Germany, France, Italy and Spain, and is fully let to a diverse range of occupiers with a WALT of 8.6 years. Six of the ten assets in the portfolio are dedicated cold storage units. 

Nick Pink, Head of Europe Real Estate Portfolio Management at Barings, added: “Having built and benefitted from a significant overweight to the sector for this mandate in recent years we are now refining our logistics strategy and making selected sales that reflect our view of the sector’s rapid evolution as we emerge from the global pandemic. We expect to redeploy proceeds in the sector with a focus on build-to-core and urban logistics in top-tier markets.”

Gunther Deutsch, Managing Director, Head of Real Estate Transactions – Europe and Managing Director Germany at Barings, said: “This transaction represents our first pan-European logistics portfolio sale following our strategic growth in this sector in recent years. We were one of the first investors to target cold-storage space when pricing was at a discount several years ago and these assets have experienced unprecedented growth in the intervening hold periods. This has allowed us to bring to market a cohesive, fully let portfolio for investors looking to gain exposure to this popular subsector.  We continue to see compelling logistics opportunities in our key markets of the Nordics, Netherlands, UK, Germany, Italy, France and Spain, particularly where we can leverage our network and experience to create value. In addition, we are [actively] seeking partner developers and occupiers to enhance our pipeline.”

Barings was advised by JLL (transaction), Ashurst (legal and tax) and Arcadis (technical due diligence). Savills advised the buyer.
 

Barings Real Estate

Barings Real Estate (BRE) offers a broad range of global investment opportunities across the private debt and equity investment markets. BRE invests in all major property sectors and offers an expansive range of financing solutions to real estate borrowers.  Follow us on LinkedIn at www.linkedin.com/showcase/barings-alternative-investments.
 

About Barings

Barings is a $382+ billion* global investment manager sourcing differentiated opportunities and building long-term portfolios across public and private fixed income, real estate, and specialist equity markets. With investment professionals based in North America, Europe and Asia Pacific, the firm, a subsidiary of MassMutual, aims to serve its clients, communities and employees, and is committed to sustainable practices and responsible investment.

*Assets under management as of June 30, 2021