Nuveen Real Estate leases to Cargoe in City Park Vienna

Nuveen Real Estate, one of the largest investment managers in the world, achieves a leasing success for City Park Vienna well before completion. Cargoe, a leading Austrian logistics service provider has signed a long-term lease and secured the largest of three components of the inner-city logistics park in Vienna. Taking on around 12,500 sqm of logistics space and 1,300 sqm of office space, it will become Cargoe’s new headquarters.

In total, a gross lettable area of around 40,000 sqm is being built in three phases on the former Novartis sites, including over 29,000 sqm of logistics space and 8,500 sqm of office space, as well as warehouse and production space. The planned completion of all components is in the fourth quarter of 2023. The overall site also includes a unit for the light industry with around 20,000 sqm as well as cross-dock facilities. Another already existing building with around 8,000 sqm is used by Austrian Post as a national parcel centre.

Andrew Rich, Fund Manager at Nuveen Real Estate, says: “We are hugely excited by the progress being made at City Park Vienna and signing up Cargoe at this stage of the development is a great testament to the quality of the asset. With headwinds expected for the commercial property industry heading into 2023, we continue to focus on strategic assets that will continue to address tenant requirements and meet structural shortfalls in the market.”

Harald Jony, CEO of Cargoe, adds: “We deliberately chose this location to set an example both for our employees and for the sustainable development of the company. We are looking forward to our new HUB Vienna 2023 and further cooperation with Nuveen Real Estate.”

The special features of City Park Vienna include high-quality and appealing architecture, flexible use of space in the halls and offices, and a sustainable energy concept using geothermal and solar thermal energy. Emphasis is also placed on the planned green space design, which includes the planting of approximately 1,000 trees and the formation of green roofs. The inner-city location makes the logistics park an ideal site for distribution, e-commerce, and light manufacturing activities. The connection to the main traffic routes around Vienna also meets the need and requirement for last-mile logistics.

Felix Zekely of OPTIN Immobilien GmbH acted as the broker for the lease. Nuveen Real Estate was legally advised by EY Law. GO ASSET Development is acting as project developer and is responsible for the construction and letting of around 40,000 sqm of lettable space.

The asset is owned by the European Cities platform, Nuveen Real Estate’s flagship pan-European strategy.