Concens Investments and its Slovak development partner J&T have sold two logistics parks in the Moravian-Silesian region with a combined area of 140,000 sqm to EQT Exeter for €150 million.
The two parks include Logistics Park Nošovice (64,000 sqm) near Frýdek-Místek, which is fully-leased to logistics company Hyundai Glovis from where it serves the nearby Hyundai motors plant. The other property changing hands is Ostrava Airport Multimodal Park, which is adjacent to Leoš Janáček International Airport Ostrava in Mošnov, about 20 km southwest of the city. This park is fully leased to Continental Barum, DHL, Hyundai Glovis, M.K. Invest, Rhenus Logistics, Skladon and UFI.
Concens and J&T were advised by CBRE on this transaction.
“We have registered unprecedented interest from investors for quality industrial and logistics assets in good locations leased to strong covenants. This transaction was no exception. The demand is driven by strong take-up in all the regions, unprecedented low vacancy rates, currently below 2.5 percent, recorded rental growth and very strong future prospects driven by e-commerce growth and changing needs in supply chain management. The I&L market in the Czech Republic is growing at app. 10 percent every year and has more than doubled in size during the last ten years, reaching 9.5 million sqm. Despite that, the demand has exceeded the supply, with ca. 3 million sqm leased in less than 3 years. On the other hand, in spite of a sharp decline in yields, there is still an attractive premium for Czech prime products with yields currently standing at 4.25 percent, which is 95 percent higher than in neighbouring Germany. We are pleased that we were able to achieve new record yields for the Ostrava region with this transaction,” commented Katarína Brydone, the head of investment properties at CBRE Czech Republic.