Crossbay, the first pan-European urban logistics platform to target single-user distribution centres, has acquired a multi-storey urban logistics asset in Saint Denis for an undisclosed sum in an off-market transaction. The vendor is a private family office.
The 7,500 sq m asset, located a few kilometers from Paris, features 3,500 sq m of ground floor space, with platforms for heavy goods vehicles and light vehicles, as well as single-level doors on three sides. The rest of the site is divided into cells of approximately 500 sq m on the upper floors, with access to the quays.
The property, which is currently unoccupied, is being marketed to firms in the last mile logistics sector.
The acquisition of the Saint Denis site builds on Crossbay’s growing footprint in France, with their 20 assets at an overall value of around €180 million.
The platform has invested more than €100 million in France this year, with the aim to target €500 million in assets under management within the next two years.
Crossbay France was advised by Cushman & Wakefield for commercial due diligence, C&C Notaries, Jones Day for legal aspects, Etyo (technical and environment), and Deloitte and Taj (finance and taxation). The seller entrusted an exclusive mandate to SODICA real estate agency (Caroline Dheilly) and Jérôme Ader assisted for the notarial aspects.
Louis Radiguet, managing director of Crossbay France, said: “This acquisition, along with the secure pipeline, will allow us to exceed our objective of €100 million in acquisitions for the year 2021.
“The site presents all the fundamentals of urban logistics, in terms of its location and its technical characteristics. It also has a strong potential for short-term value creation for the Crossbay fund, perfectly matching the type of asset we are looking for.”
Launched in May 2020 by leading private equity real estate investment manager MARK, Crossbay was designed to enable institutional investors such as pension funds and insurers to grow their exposure to the fast-growing last mile logistics sector.
Crossbay focuses specifically on single-user distribution centres in locations no more than a 90-minute journey to the centre of the nearest city. Single-tenant assets require less intensive asset management than multi-let industrial units and are less exposed to the performance of the wider economy than larger ‘big box’ warehouses.
The platform’s 600,000 sq m portfolio hosts a high-profile tenant base, counting leading 3PLs such as FedEx and DHL, as well as major e-commerce brands like Amazon, as occupiers.
In December 2020, MARK announced a successful capital raise for Crossbay, securing €550m in equity commitments from a global range of investors. Investors included the Townsend Group, CBRE GI, Credit Suisse, Nuveen and QInvest LLC.
The fundraise was then followed by a €400m debt facility from investment bank Citi in January 2021 to help further fund Crossbay’s growth and European expansion.