M7 Real Estate expands footprint with key French logistics acquisition

 

In a major transaction valued at approximately €80 million, M7 Real Estate, a prominent investor and asset manager, has acquired four vital logistics and industrial properties in France.

 

This acquisition, made from PGIM Real Estate and Alderan, marks a significant expansion for M7's European Supply Chain Income Partnership (ESCIP), a pan-European investment vehicle supported by M7's co-owners, Oxford Properties and AustralianSuper.

 

Strategic locations for business advantage

 

The newly acquired portfolio encompasses an impressive 109,000 square meters of prime real estate. These assets are strategically located in key distribution hubs across France: Lyon, Marseille, Nancy, and Angers.

 

M7 has identified these locations as "strategic," underscoring their importance for efficient supply chain operations and access to major markets. Businesses seeking well-connected and high-potential warehouse or distribution space will find these locations highly attractive.

 

Unlocking value and future opportunities

 

While the portfolio is currently 83% leased to established companies like ID Logistics and Pomona EpiSaveurs, M7's acquisition highlights a clear vision for unlocking further value. The properties present significant opportunities for renovation and enhancements in sustainability, aligning with modern business demands for efficient and environmentally conscious operations.

 

Crucially for businesses on the lookout for space, the portfolio offers the potential to lease vacant areas, providing flexible options for expansion or new market entry. As Nabil Mabed, Head of France, Spain & Portugal at PGIM Real Estate, noted, "This portfolio has potential for further value creation under M7 ownership," suggesting a dynamic future for these properties.

 

M7's confidence in the French market

 

This substantial investment is M7's third for the ESCIP vehicle this year, following two acquisitions in the Greater Manchester area of England. John Pow, Managing Director at M7, emphasized the company's commitment: "This landmark transaction underscores our conviction in the sector and our vision for the French market, as we seek to grow the joint-venture portfolio and continue to deploy capital into high-growth markets across the UK and Western Europe." This strong belief in the French logistics sector bodes well for businesses looking for stable and growing opportunities within the region's commercial real estate landscape.

 

Source: voxlog.fr