AXA IM Alts, a global leader in alternative investments with EUR183 billion of assets under management, announces that it has acquired a c. GBP391 million (c.EUR470 million) prime UK logistics portfolio, from a joint venture between Goldman Sachs and Canmoor. The transaction has been made on behalf of clients through AXA IM Alts’ market leading Real Assets platform, which is the leading real estate portfolio and asset manager in Europe.
The 1.9 million square feet (c. 177 000 square metres) portfolio comprises a combination of predominantly Grade-A last-mile and regional modern logistics warehouses situated near prominent motorways and includes nine standing assets and one development, which will be acquired upon completion. Almost all the assets in the portfolio are fully leased with an attractive average lease length in excess of seven years. AXA IM Alts plans to utilise its asset management expertise to further upgrade the assets and unlock identified portfolio reversion.
Offering exceptional connectivity credentials, 50 per cent of the portfolio is located within the UK’s Golden Triangle, a strategic hub for industrial and distribution facilities in the East Midlands from which 86 per cent of the UK population can be reached within a four-hour drive. 16 per cent of the properties are located in the Southeast, with the remainder located in prime Midlands and Manchester markets.
In line with AXA IM Alts’ global sustainability approach, the portfolio holds strong environmental credentials, with 50 per cent of the total area benefiting from an EPC rating of A or B, and all other assets being rated C or above. The business intends to pursue a number of initiatives aimed at further increasing the energy efficiency of the portfolio where needed.
This transaction represents a significant expansion of AXA IM Alts’ exposure to the UK logistics market, and brings its global direct equity logistics platform to over 7 million square metres across 15 countries, and a total value of c. EUR11 billion across its global direct equity and debt platforms, as the sector remains sought-after on account of favourable supply / demand metrics driven by shifts in worldwide consumption habits.
Source: realassets.axa-im.com on the 20th of April 2022
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