Hines REIT Grows Dutch Portfolio With Netherlands Warehouse Acquisition
Hines Global Income Trust Inc. – a public, non-traded real estate investment trust sponsored by Hines – acquired Floralaan, a 215,000-square-foot retail warehouse, located in Venlo, Netherlands.
The purchase price was $21.2 million, assuming a rate of $1.08 per Euro as of the acquisition date.
Floralaan, which is 100% leased, is adjacent to HGIT’s existing investment – Fresh Park Venlo – previously acquired in 2018. Situated on the border between the Netherlands and Germany, the Venlo logistics hub is the largest fresh food distribution hub in Europe. It is responsible for 75% of the total container freight from the Netherlands to Germany with 21,000 trucks crossing the border every day and 11 million tons of rail freight crossing annually.
The new property sits on freehold logistics-zoned land adjacent to the existing assets and is fully leased to a cash-and-carry wholesale operator with more than 180 outlets onsite. The site boasts an A+++ energy label and incorporates sustainability features, including a solar panel system and an innovative thermal energy storage system.
“We are delighted to have further strengthened Hines’ position in this key location in the Netherlands. By adding a retail warehouse to the investment, our portfolio is further diversified and a new B2B concept is added to the 65 tenancies already in business at the commercial park managed by our onsite property management team,” said Andy Smith, senior managing director and country head of Hines Netherlands.
“We look forward to working with the tenant to find opportunities to enhance their experience in their long-term home. Hines Netherlands remains committed to investing in Venlo for the long term and looks forward to further developing the park with the municipality and other stakeholders,” he added.
“The acquisition demonstrates HGIT’s ability to unlock quality acquisition opportunities globally through Hines’ local market presence and we are pleased to further strengthen our Dutch logistics portfolio with this addition,” noted Alex Knapp, chief investment officer – Europe for both Hines and Hines Global Income Trust.
With this addition, HGIT has a $4.1 billion portfolio of commercial real estate investments that is more than 64% weighted toward the living and industrial sectors. It is diversified by geography and real estate sectors, with a focus on stable assets with strong long-term income potential.
