GERMANY, 17 APRIL 2020

Frasers Property Industrial announced today the successful completion of the acquisition of two adjacent properties: an industrial property in Kleinkötz and a logistics property in Günzburg. Two of the most significant aspects of the acquisition are an industrial property with a long-term lease commitment by a renowned tenant and secondly, a multi-let logistics property with substantial redevelopment potential on a plot size of 100,000 sqm.

The properties are located close to the A8 motorway, southeast of Ulm, Bavaria, which is considered one of Germany’s most sought-after logistics sub-markets. The properties sit on a combined land plot of 200,000-sqm comprising various warehouses, including an office and a showroom, amounting to a total gross lettable area of ca. 65,000 sqm.

The industrial property has a long-standing history in this location and its company is headquartered in nearby Kötz some three kilometres southwest of the Kleinkötz property. The tenant is a European manufacturing company that produces trailer axles and various related components for mobile homes with a sales revenue of approximately US$1 billion. The property entails ca. 40,000 sqm of GLA and the tenant has committed to a long-term lease which ensures a steady income profile for the years to come.

The logistics property is let to multiple tenants and has a good connection to the A8 motorway with a gross lettable area of ca. 25,000 sqm. The property has medium to long-term occupiers from the automotive and pharmaceutical sector. The acquisition aligns with the strategic trajectory to further grow the development platform of Frasers Property Industrial through the substantial development potential that can be realised in the medium term.

Reini Otter, Chief Executive Officer of Frasers Property Industrial said, “This acquisition strengthens Frasers Property Industrial’s position in the greater Ulm region and further enhances the exposure that revolves around a customer-centric approach and identifying value-add opportunities in the German market. Our strategy in Europe is to continue developing state-of-the-art logistics properties in our three core markets of Germany, the Netherlands and Austria.”