AEW Europe has announced on behalf of its LOGISTIS* Fund, that it has purchased a 255,000 sqm logistics development in Prague, Czech Republic from Panattoni Europe for a total completed value of €150 million.
Located on the R6 motorway, close to Prague International Airport and the city’s R1 ring road, the property includes a 125,000 sqm standalone distribution warehouse which is under development and fully pre-let to Amazon. Set to be completed by the developer, Panattoni, during summer 2015, it will serve as a new location in Amazon’s European Fulfilment Network and will carry a BREEAM Very Good environmental certificate.
The remaining 130,000 sqm consists of a logistics development comprising seven Grade A assets. Four of the assets totalling 102,000 sqm will be built to let as multitenant units, while the remainder will be developed for the owner occupier market.
The transaction represents LOGISTIS’ first acquisition in the Czech Republic and follows AEW Europe’s recent successful €834 million capital raise on behalf of the Fund. LOGISTIS’ growth strategy remains focused on working with local developers to build a portfolio of Grade A logistics parks in prominent locations across the main logistics hubs in Continental Europe.
Remy Vertupier, Fund Manager for AEW Europe LOGISTIS said: “This is undoubtedly one of the most attractive logistics investment opportunities to come to market in Central Europe in the last 12 months. We regard this strategic location as the best in the country, offering excellent letting potential and allowing us to instantly establish a strong market presence, which we look forward to growing in line with our Fund strategy.”
Pavel Sovicka, Managing Director of Panattoni Czech Republic said: “We are pleased to cooperate with global players such as AEW Europe and Amazon on this unique project. This facility will become the largest free standing industrial building in the Czech Republic since 1989. This deal materializes the long-term partnership between our companies. We are honoured to be trusted by AEW Europe with the management of the portfolio in addition to its construction.”
AEW Europe and Panattoni were advised respectively by global law firms Dentons & Havel Holásek Partners.