Comprising over 90,000 sq m of space, the two Grade A logistics warehouses are fully let to two primary 3PL tenants at an average ERV above underwriting. Barings achieved LEED Gold certifications on the assets, which had been acquired across two phases in 2022 through a forward-commitment with a local developer. They are situated in an established logistics hub following the relocation of international tenants to the area,  within the Verona core logistics sub-market, a 2km distance from the A22 motorway. 

Colliers acted as the seller’s advisor on this transaction.

Following the success of this investment, Barings and Savills are now developing another warehouse of c. 37,000 sq m in the same location.

Marco Corti, Managing Director and Country Head Italy at Barings Real Estate, said: “The success of our business plan for both buildings, significantly ahead of initial underwriting in terms of timing and economics, is a reflection of our local team’s hands-on approach and active asset management, backed by our global expertise, insights and relationships. This is the third exit for the fund and the first in Italy following two successful exits in France and reinforces our conviction in the attractiveness of the logistics market in Italy. We are very interested in acquiring additional logistics assets in Italy, whether in joint ventures with developers or straightforward acquisitions of projects.”

Gunther Deutsch, Managing Director and Head of European Transactions at Barings Real Estate, said: “This investment demonstrates the depth of our team’s understanding of local dynamics and regional markets, which has resulted in an impressive execution of the business plan and a correspondingly attractive transaction for our investors. Our focus across Europe remains on logistics and living, for our investors in our target markets: France, Germany, the Netherlands, the Nordics, the UK, Iberia and Italy.”

Faustino Musicco, Head of Logistics, Last Mile & Data Centers (Italy) and Co-Head of Industrial & Logistics Practice Group (EMEA) at Colliers, said: “We are pleased to have assisted Barings and Savills IM SGR in this transaction, building a structured and efficient selection process that has resulted in what is likely the largest logistics deal by volume in the Italian market in the first half of 2024".

Contacts
Polly Warrack/Ben Monteith (SEC Newgate)
baringsRE@secnewgate.co.uk

Barings Real Estate
Barings Real Estate (BRE) is a part of Barings and 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 linkedin.com/showcase/barings-alternative-investments.

About Barings
Barings is a $406+ billion* global asset management firm that partners with institutional, insurance, and intermediary clients, and supports leading businesses with flexible financing solutions. The firm, a subsidiary of MassMutual, seeks to deliver excess returns by leveraging its global scale and capabilities across public and private markets in fixed income, real assets and capital solutions.

*As of March 31, 2024