Develica Deutschland, the AIM-listed German property company, has continued its logistics property investment spree with the purchase of a 538,200 sq ft (50,000 sq m) property in Harsewinkel for E28.63m (£19.4m).
The purpose-built property was developed in the late 1990's and is wholly let to Arvato Distribution, part of the Bertlesmann Group. The investment currently generates a gross annual rent of E2.11m (£1.43m). The acquisition reflects an initial yield of 7.37%.
Derek Butler, chairman of Develica Deutschland, said: ‘This is another investment to be successfully secured off-market, reinforcing the company’s hands-on and pro-active approach towards sourcing value driven stock in the now very active German property investment market.’
Richard Thirkell, Develica Deutschland Management fund director, added: ‘It is really exciting to be announcing a second highly significant logistics acquisition this week and underscores our belief in, and commitment to, this sector as part of a balanced portfolio.’