BERLIN-International real estate firm Hines, says its Hines Global REIT, Inc. has acquired the Fiege Mega Centre, a class A, single-tenant logistics facility located near the central German city of Erfurt, between Berlin and Frankfurt.
The 952,539-square-foot property is 100% leased to Fiege Group until 2023. Developed in 1995, the facility was designed to expand Fiege’s retail logistics operations and is one of their most modern e-commerce logistics centers.
“The Fiege Mega Centre is a high-quality asset that complements Hines Global REIT’s existing portfolio. Germany’s economy is one of the strongest in Europe, and we have increased the geographic diversity of Hines’ Global REIT with this acquisition,” said Sherri Schugart, president and CEO of Hines Global REIT.
Christoph Reschke, senior managing director of Hines Germany, said, “The strength of the German market makes this an excellent acquisition for Hines Global REIT. This property has particular appeal due to its strong tenancy, location in the central hub of Erfurt, and nearby access to public transportation, highways A4, A71 and A9, as well as numerous railways.”
Debt financing for the acquisition was provided by Deutsche Pfandbriefbank AG. Hines Germany will provide asset management services.
“Hines Global REIT’s acquisition increases our logistics assets under management in Germany to approx 4.6 million square feet,” said Karl Wambach, director of Hines Germany.
Hines Global REIT acquired Fiege Mega Centre from a fund managed by CBRE Global Investors.
“The high interest of investors shows the attractiveness of the asset as well as its location within the German logistics market,” said Ulrich Oppermann, CBRE Global Investor’s Head of Transactions in Germany.
Fiege Logistics is one of the leading logistics providers in Europe. Its expertise lies particularly in the development and implementation of complete, integrated logistics systems. In 2012, Fiege Logistics generated revenues of about $2 billion worldwide with its 11,000 employees.