Verdion today broke ground on a cold storage and logistics facility in Wunstorf near Hanover, Germany. London-listed Tritax EuroBox plc bought the pre-let asset in a forward deal for EUR 27.5m at the end of last year. The development marks the first project collaboration between the two companies.
The property on Adolf-Oesterheld-Strasse includes a 9,000 sq m (96,876 sq ft) cold storage facility for groceries, 6,000 sq m (645,584 sq ft) of logistics space and 1,000 sq m (10,764 sq ft) of office and community space. Verdion seeks to achieve a DGNB sustainability certificate in Gold for the project.
Duisburg-based HAVI Logistics GmbH, a subsidiary of US-headquartered The HAVI Group, has taken out a 15-year lease on the asset. The food service logistics firm serves restaurants and convenience stores, with clients including McDonald’s, IKEA, Pizza Hut, Subway, Costa Coffee and Vapiano.
“Being selected by HAVI to deliver its new distribution centre is a testament to our team’s skills, knowledge and track record in developing technology-based logistics facilities,” said Michael Hughes, CEO of Verdion. “This is an important milestone in our first collaboration with Tritax EuroBox and we are on track for completion of the development in early 2020.”
Nick Preston, Fund Manager at Tritax EuroBox said: “A core strand of EuroBox’s investment strategy is to focus on established prime logistics locations in Europe and partner with the best developers, such as Verdion, to deliver high quality logistics assets leased to market-leading occupiers such as HAVI.
“This new, high specification primary distribution facility in Wunstorf meets all of these requirements generating an attractive income return for the next fifteen years and is a valuable addition to our expanding logistics portfolio.”
Preston added: “The dynamic growth in European logistics markets in recent years is being driven by strong and growing demand for large, modern well-located logistics assets as occupiers seek to improve their operational efficiency and meet the requirements of a fast-evolving retail market. We believe that there is significant expansion potential in the German market, and across Continental Europe, for this ’next generation’ type of modern logistics facility.”
KLEBL GmbH is acting as general contractor, tricer management GmbH as project manager and Büro Kühling as architect in the development. JLL acted as broker for the site and the project.